[LOGO OF REGIONS]
Family of Funds
COMBINED SEMI-ANNUAL REPORT
DATED MAY 31, 1999
- ------------------------------------------------------------------------------
FIRST PRIORITY FUNDS BECAME REGIONS FUNDS
EFFECTIVE MAY 15, 1998
[LOGO OF REGIONS FUNDS]
PRESIDENT'S MESSAGE
- -------------------------------------------------------------------------------
Dear Shareholder:
I am pleased to present the Semi-Annual Report to Shareholders for the Regions
Funds. This report covers activity in the funds for the six-month period from
December 1, 1998 through May 31, 1999.
The Regions Funds offer you a range of investment objectives to keep your money
working toward your financial goals--from daily income on your ready cash, to
income on a regular basis, to growth and aggressive growth for very long-term
goals like a child's college education or your retirement. Whatever your goals,
you'll find opportunities for investing to pursue with your dreams.
The following is a fund-by-fund performance summary over the six-month period
covered by this report:
REGIONS TREASURY MONEY MARKET FUND
This fund is a convenient, highly conservative way for shareholders to pursue
daily income on their ready cash. The fund's portfolio of U.S. Treasury money
market securities paid dividends of $0.02 per share for Trust Shares and $0.02
per share for Investment Shares during the six-month reporting period. The
fund's net assets totaled $590.1 million at the end of the reporting period.*
REGIONS LIMITED MATURITY GOVERNMENT FUND
The fund's diversified portfolio consists of limited maturity U.S. Treasury
Notes, U.S. government agency securities and investment-grade corporate bonds.
Trust Shares produced an income stream totaling $0.23 per share over the
six-month period. Trust Shares also paid a minimal capital gain of $0.01 per
share. The net asset value declined by $0.14. Trust Shares total return was
0.97%. Investment Shares produced an income stream totaling $0.22 per share over
the six-month reporting period. Investment Shares also paid a minimal capital
gain of $0.01 per share, and the net asset value declined by $0.14. As a result,
Investment Shares total return was 0.85%, or -2.11% adjusted for the contingent
deferred sales charge.** The fund's net assets totaled more than $110.0 million
at the end of the reporting period.
REGIONS FIXED INCOME FUND
For Trust Shares, the fund's portfolio of U.S. government bonds and
investment-grade corporate bonds produced a monthly income stream totaling $0.26
per share over the six-month period. The net asset value declined by $0.34. As a
result, Trust Shares produced a total return of -0.75%. Investment Shares
produced a monthly income stream totaling $0.25 per share over the six-month
period. The net asset value declined by $0.34. As a result, Investment Shares
total return was -0.87%, or -3.77% adjusted for the contingent deferred sales
charge.** At the end of the reporting period, the fund's net assets rose to
$273.9 million.
REGIONS BALANCED FUND
The fund's combination of high-quality stocks and investment-grade corporate
bonds and government bonds produced a total return for Trust Shares of 4.16% for
the six-month reporting period. Contributing to the total return were dividends
totaling $0.17 per share and capital gains totaling $0.49. The net asset value
declined a minimal $0.03. Investment Shares produced a total return of 4.04% for
the six-month reporting period, or 1.05% adjusted for the contingent deferred
sales charge.** Contributing to the total return were dividends totaling $0.15
per share and capital gains totaling $0.49. For Investment Shares, the net asset
value declined a minimal $0.03. The fund's net assets reached $157.5 million at
the end of the reporting period.
* An investment in money market funds is neither insured nor guaranteed by the
Federal Deposit Insurance Corporation or any other government agency.
Although these funds seek to preserve the value of your investment at $1.00
per share, it is possible to lose money by investing in them.
** Performance quoted represents past performance and is not indicative of
future results. Investment return and principal value will fluctuate so that
an investor's shares, when redeemed, may be worth more or less than their
original cost. A 3.00% maximum contingent deferred sales charge is applicable
to shares redeemed within three years of their purchase.
- -------------------------------------------------------------------------------
REGIONS VALUE FUND
As the stock market marched on, accompanied by periods of high daily volatility,
the fund's Trust Shares delivered a total return of 8.09%. Contributing to the
total return was a $0.01 increase in net asset value, dividends totaling $0.10
per share and capital gains totaling $1.22 per share. Investment Shares
delivered a total return of 7.97%, or 4.97% adjusted for the contingent deferred
sales charge.** Contributing to the Investment Shares total return were a $0.01
increase in net asset value, dividends totaling $0.08 per share and capital
gains totaling $1.22 per share. The fund's net assets reached $269.3 million at
the end of the reporting period.
REGIONS GROWTH FUND
The fund's diversified portfolio of high-quality growth stocks delivered a total
return for Trust Shares of 9.99%. Contributing to this total return was a $0.59
rise in net asset value from the first day of the period to the last day,
dividends totaling $0.01 per share, and capital gains amounting to $1.38 per
share. Investment Shares delivered a total return of 9.91%, or 6.91% adjusted
for the contingent deferred sales charge.** Contributing to the Investment
Shares total return were a $0.58 rise in net asset value from the first day of
the period to the last day, and capital gains amounting to $1.38 per share. At
the end of the reporting period, the fund's net assets reached $561.0 million.
REGIONS AGGRESSIVE GROWTH FUND
The newest addition to the Regions Funds family, Regions Aggressive Growth Fund
gives investors the opportunity to pursue long-term capital appreciation through
a diversified portfolio of small* and mid-size American companies. The fund
produced a total return of 21.22% for the six-month reporting period, or 18.21%
adjusted for the contingent deferred sales charge.+ In the limited period of the
mutual fund's initial operation between March 15 and May 31, 1999, the fund
delivered a total return of 7.20%, or 4.20% adjusted for the contingent deferred
sales charge,** through a $0.72 rise in net asset value. At the end of the
reporting period, the fund's net assets reached $58.2 million.
Thank you for joining with other shareholders who have entrusted their financial
goals to the Regions Funds. Adding to your account on a regular basis and
reinvesting your dividends in additional shares are convenient, painless ways to
"pay yourself first" and enjoy the benefit of compounding.++
We look forward to keeping you up-to-date on your progress.
Sincerely,
/s/ Edward C. Gonzales
Edward C. Gonzales
President
July 15, 1999
* Small cap stocks have historically experienced greater volatility than
average.
** Performance quoted represents past performance and is not indicative of
future results. Investment return and principal value will fluctuate so that
an investor's shares, when redeemed, may be worth more or less than their
original cost. A 3.00% maximum contingent deferred sales charge is
applicable to shares redeemed within three years of their purchase
+ The fund is the successor to the portfolio of a collective trust fund
managed by the Adviser since June 30, 1993. The quoted performance data
includes the performance of the collective trust fund for periods before
the fund's registration statement became effective. The collective trust
fund was not registered under the Investment Company Act of 1940 (the
"1940 Act"), and therefore was not subject to certain investment
restrictions that are imposed by the 1940 Act. If the collective trust
fund had been registered under the 1940 Act, the performance may have been
adversely affected.
++ Systematic investing does not ensure a profit or protect against loss in
declining markets.
SHAREHOLDER MEETING RESULTS
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A Special Meeting of Shareholders of Regions Treasury Money Market Fund (the
"Fund"), a portfolio of Regions Funds (the "Trust"), was held on June 15, 1999.
On April 27, 1999, the record date for shareholders voting at the meeting, there
were 631,760,430 total outstanding shares. The following items were considered
by shareholders of the Fund and the results of their voting were as follows:
AGENDA ITEM 1: To elect Trustees.*
<TABLE>
<CAPTION>
SHARES VOTED SHARES WITHHELD
FOR AUTHORITY
- ----------------------------------------------------------------------------------------
<S> <C> <C>
Thomas G. Bigley 535,208,967 97,920
Nicholas P. Constantakis 535,208,967 97,920
John F. Cunningham 535,208,967 97,920
J. Christopher Donahue 535,208,967 97,920
Charles F. Mansfield, Jr. 535,208,967 97,920
John E. Murray, Jr. 535,208,967 97,920
John S. Walsh 535,208,967 97,920
</TABLE>
AGENDA ITEM 2: To ratify the selection of Deloitte & Touche LLP as the Trust's
independent auditors.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- ------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
531,725,574 71,203 3,510,109 --
</TABLE>
AGENDA ITEM 3: To make changes to the Fund's fundamental investment policies:
(a) To amend the Fund's fundamental investment policy regarding diversification.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- ------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
529,897,644 1,511 3,897,732 1
</TABLE>
(b) To amend the Fund's fundamental investment policy regarding borrowing money
and issuing senior securities.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- ------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
529,307,718 2,075,922 3,923,246 1
</TABLE>
- -------------------------------------------------------------------------------
(c) To amend the Fund's fundamental investment policy regarding investments in
real estate.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- ------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
529,606,710 1,749,638 3,950,538 1
</TABLE>
(d) To amend the Fund's fundamental investment policy regarding investments in
commodities.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- ------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
529,131,184 2,287,494 3,888,209 1
</TABLE>
(e) To amend the Fund's fundamental investment policy regarding underwriting
securities.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- ------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
529,367,609 2,042,981 3,896,297 0
</TABLE>
(f) To amend the Fund's fundamental investment policy regarding lending by the
Fund.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- ------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
529,151,027 2,364,572 3,791,288 0
</TABLE>
(g) To amend the Fund's fundamental investment policy regarding concentration of
the Fund's investments in the securities of companies in the same industry.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- ------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
529,313,453 2,207,221 3,786,213 0
</TABLE>
(h) To amend, and to make non-fundamental, the Fund's fundamental investment
policy regarding buying securities on margin.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- ------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
528,737,774 2,736,222 3,832,890 1
</TABLE>
- --------------------------------------------------------------------------------
(i) To amend, and to make non-fundamental, the Fund's fundamental investment
policy regarding pledging assets.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- ------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
528,859,247 2,639,146 3,808,494 0
</TABLE>
AGENDA ITEM 4: To eliminate the Fund's fundamental investment policy on selling
securities short.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- ------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
529,106,277 2,338,200 3,862,410 0
</TABLE>
AGENDA ITEM 5: To approve an amendment and restatement to the Trust's
Declaration of Trust to permit the Board of Trustees to liquidate assets of the
Trust without seeking shareholder approval.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- ------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
529,037,733 2,353,277 3,915,877 0
</TABLE>
- -------------------------------------------------------------------------------
A Special Meeting of Shareholders of Regions Limited Maturity Government Fund
(the "Fund"), a portfolio of Regions Funds (the "Trust"), was held on June 15,
1999. On April 27, 1999, the record date for shareholders voting at the meeting,
there were 10,375,896 total outstanding shares. The following items were
considered by shareholders of the Fund and the results of their voting were as
follows:
AGENDA ITEM 1: To elect Trustees.*
<TABLE>
<CAPTION>
SHARES VOTED SHARES WITHHELD
FOR AUTHORITY
- ----------------------------------------------------------------------------------------
<S> <C> <C>
Thomas G. Bigley 9,863,419 6,475
Nicholas P. Constantakis 9,863,419 6,475
John F. Cunningham 9,863,419 6,475
J. Christopher Donahue 9,863,419 6,475
Charles F. Mansfield, Jr. 9,863,419 6,475
John E. Murray, Jr. 9,863,419 6,475
John S. Walsh 9,863,419 6,475
</TABLE>
AGENDA ITEM 2: To ratify the selection of Deloitte & Touche LLP as the Trust's
independent auditors.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
9,854,727 6,475 8,692 --
</TABLE>
AGENDA ITEM 3: To make changes to the Fund's fundamental investment policies:
(a) To amend the Fund's fundamental investment policy regarding diversification.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
9,854,647 6,475 8,772 0
</TABLE>
(b) To amend the Fund's fundamental investment policy regarding borrowing money
and issuing senior securities.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
9,857,901 6,475 5,518 0
</TABLE>
- -------------------------------------------------------------------------------
(c) To amend the Fund's fundamental investment policy regarding investments in
real estate.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
9,864,376 0 5,518 0
</TABLE>
(d) To amend the Fund's fundamental investment policy regarding investments in
commodities.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
9,857,901 6,475 5,518 0
</TABLE>
(e) To amend the Fund's fundamental investment policy regarding underwriting
securities.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
9,856,570 0 13,324 0
</TABLE>
(f) To amend the Fund's fundamental investment policy regarding lending by the
Fund.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
9,857,901 6,475 5,518 0
</TABLE>
(g) To amend the Fund's fundamental investment policy regarding concentration of
the Fund's investments in the securities of companies in the same industry.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
9,857,901 6,475 5,518 0
</TABLE>
(h) To amend, and to make non-fundamental, the Fund's fundamental investment
policy regarding buying securities on margin.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
9,857,901 6,475 5,518 0
</TABLE>
- --------------------------------------------------------------------------------
(i) To amend, and to make non-fundamental, the Fund's fundamental investment
policy regarding pledging assets.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
9,864,376 0 5,518 0
</TABLE>
AGENDA ITEM 4: To eliminate the Fund's fundamental investment policy on selling
securities short.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
9,857,901 6,475 5,518 0
</TABLE>
AGENDA ITEM 5: To approve an amendment and restatement to the Trust's
Declaration of Trust to permit the Board of Trustees to liquidate assets of the
Trust without seeking shareholder approval.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
9,857,901 6,475 5,518 0
</TABLE>
- -------------------------------------------------------------------------------
A Special Meeting of Shareholders of Regions Fixed Income Fund (the "Fund"), a
portfolio of Regions Funds (the "Trust"), was held on June 15, 1999. On April
27, 1999, the record date for shareholders voting at the meeting, there were
26,218,810 total outstanding shares. The following items were considered by
shareholders of the Fund and the results of their voting were as follows:
AGENDA ITEM 1: To elect Trustees.*
<TABLE>
<CAPTION>
SHARES VOTED SHARES WITHHELD
FOR AUTHORITY
- ----------------------------------------------------------------------------------------
<S> <C> <C>
Thomas G. Bigley 25,014,467 2,858
Nicholas P. Constantakis 25,014,467 2,858
John F. Cunningham 25,014,467 2,858
J. Christopher Donahue 25,016,196 1,129
Charles F. Mansfield, Jr. 25,016,196 1,129
John E. Murray, Jr. 25,016,196 1,129
John S. Walsh 25,016,196 1,129
</TABLE>
AGENDA ITEM 2: To ratify the selection of Deloitte & Touche LLP as the Trust's
independent auditors.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
25,003,901 0 13,423 --
</TABLE>
AGENDA ITEM 3: To make changes to the Fund's fundamental investment policies:
(a) To amend the Fund's fundamental investment policy regarding diversification.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
25,003,901 0 13,423 1
</TABLE>
(b) To amend the Fund's fundamental investment policy regarding borrowing money
and issuing senior securities.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
25,005,315 3,218 8,792 0
</TABLE>
- -------------------------------------------------------------------------------
(c) To amend the Fund's fundamental investment policy regarding investments in
real estate.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
25,016,309 0 4,016 0
</TABLE>
(d) To amend the Fund's fundamental investment policy regarding investments in
commodities.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
25,001,452 2,449 13,423 1
</TABLE>
(e) To amend the Fund's fundamental investment policy regarding underwriting
securities.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
25,002,413 1,488 13,423 1
</TABLE>
(f) To amend the Fund's fundamental investment policy regarding lending by the
Fund.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
25,002,544 1,488 13,293 0
</TABLE>
(g) To amend the Fund's fundamental investment policy regarding concentration of
the Fund's investments in the securities of companies in the same industry.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
25,013,309 0 4,016 0
</TABLE>
(h) To amend, and to make non-fundamental, the Fund's fundamental investment
policy regarding buying securities on margin.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
25,007,058 6,250 4,016 1
</TABLE>
- --------------------------------------------------------------------------------
(i) To amend, and to make non-fundamental, the Fund's fundamental investment
policy regarding pledging assets.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
25,002,283 6,250 8,792 0
</TABLE>
AGENDA ITEM 4: To eliminate the Fund's fundamental investment policy on selling
securities short.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
25,007,058 6,250 4,016 1
</TABLE>
AGENDA ITEM 5: To approve an amendment and restatement to the Trust's
Declaration of Trust to permit the Board of Trustees to liquidate assets of the
Trust without seeking shareholder approval.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
25,001,065 11,593 4,667 0
</TABLE>
- -------------------------------------------------------------------------------
A Special Meeting of Shareholders of Regions Balanced Fund (the "Fund"), a
portfolio of Regions Funds (the "Trust"), was held on June 15, 1999. On April
27, 1999, the record date for shareholders voting at the meeting, there were
9,875,126 total outstanding shares. The following items were considered by
shareholders of the Fund and the results of their voting were as follows:
AGENDA ITEM 1: To elect Trustees.*
<TABLE>
<CAPTION>
SHARES VOTED SHARES WITHHELD
FOR AUTHORITY
- ----------------------------------------------------------------------------------------
<S> <C> <C>
Thomas G. Bigley 8,083,789 8,467
Nicholas P. Constantakis 8,084,999 7,257
John F. Cunningham 8,083,213 9,043
J. Christopher Donahue 8,085,087 7,169
Charles F. Mansfield, Jr. 8,085,087 7,169
John E. Murray, Jr. 8,085,087 7,169
John S. Walsh 8,085,087 7,169
</TABLE>
AGENDA ITEM 2: To ratify the selection of Deloitte & Touche LLP as the Trust's
independent auditors.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
8,071,556 161 20,538 --
</TABLE>
AGENDA ITEM 3: To make changes to the Fund's fundamental investment policies:
(a) To amend the Fund's fundamental investment policy regarding diversification.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
8,058,107 10,057 24,091 1
</TABLE>
(b) To amend the Fund's fundamental investment policy regarding borrowing money
and issuing senior securities.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
8,051,367 18,144 22,744 1
</TABLE>
- -------------------------------------------------------------------------------
(c) To amend the Fund's fundamental investment policy regarding investments in
real estate.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
8,049,916 14,980 27,359 1
</TABLE>
(d) To amend the Fund's fundamental investment policy regarding investments in
commodities.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
8,054,684 12,166 25,405 1
</TABLE>
(e) To amend the Fund's fundamental investment policy regarding underwriting
securities.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
8,051,804 16,196 24,255 1
</TABLE>
(f) To amend the Fund's fundamental investment policy regarding lending by the
Fund.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
8,047,948 16,543 27,764 1
</TABLE>
(g) To amend the Fund's fundamental investment policy regarding concentration of
the Fund's investments in the securities of companies in the same industry.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
8,055,649 6,674 29,932 1
</TABLE>
(h) To amend, and to make non-fundamental, the Fund's fundamental investment
policy regarding buying securities on margin.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
8,041,721 17,418 33,116 1
</TABLE>
- --------------------------------------------------------------------------------
(i) To amend, and to make non-fundamental, the Fund's fundamental investment
policy regarding pledging assets.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
8,048,287 13,275 30,693 1
</TABLE>
AGENDA ITEM 4: To eliminate the Fund's fundamental investment policy on selling
securities short.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
8,043,263 23,012 25,980 1
</TABLE>
AGENDA ITEM 5: To approve an amendment and restatement to the Trust's
Declaration of Trust to permit the Board of Trustees to liquidate assets of the
Trust without seeking shareholder approval.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
8,019,877 49,884 22,494 1
</TABLE>
- -------------------------------------------------------------------------------
A Special Meeting of Shareholders of Regions Value Fund (the "Fund"), a
portfolio of Regions Funds (the "Trust"), was held on June 15, 1999. On April
27, 1999, the record date for shareholders voting at the meeting, there were
14,411,959 total outstanding shares. The following items were considered by
shareholders of the Fund and the results of their voting were as follows:
AGENDA ITEM 1: To elect Trustees.*
<TABLE>
<CAPTION>
SHARES VOTED SHARES WITHHELD
FOR AUTHORITY
- ----------------------------------------------------------------------------------------
<S> <C> <C>
Thomas G. Bigley 13,593,768 1,616
Nicholas P. Constantakis 13,593,768 1,616
John F. Cunningham 13,593,768 1,616
J. Christopher Donahue 13,593,768 1,616
Charles F. Mansfield, Jr. 13,593,768 1,616
John E. Murray, Jr. 13,593,768 1,616
John S. Walsh 13,593,768 1,616
</TABLE>
AGENDA ITEM 2: To ratify the selection of Deloitte & Touche LLP as the Trust's
independent auditors.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
13,587,862 1,080 6,442 --
</TABLE>
AGENDA ITEM 3: To make changes to the Fund's fundamental investment policies:
(a) To amend the Fund's fundamental investment policy regarding diversification.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
13,585,832 1,135 8,416 1
</TABLE>
(b) To amend the Fund's fundamental investment policy regarding borrowing money
and issuing senior securities.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
13,582,108 5,212 8,063 1
</TABLE>
- -------------------------------------------------------------------------------
(c) To amend the Fund's fundamental investment policy regarding investments in
real estate.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
13,584,458 2,802 8,123 1
</TABLE>
(d) To amend the Fund's fundamental investment policy regarding investments in
commodities.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
13,584,475 3,962 6,946 1
</TABLE>
(e) To amend the Fund's fundamental investment policy regarding underwriting
securities.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
13,584,744 3,693 6,946 1
</TABLE>
(f) To amend the Fund's fundamental investment policy regarding lending by the
Fund.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
13,583,298 4,292 7,793 1
</TABLE>
(g) To amend the Fund's fundamental investment policy regarding concentration of
the Fund's investments in the securities of companies in the same industry.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
13,586,284 139 8,960 1
</TABLE>
(h) To amend, and to make non-fundamental, the Fund's fundamental investment
policy regarding buying securities on margin.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
13,582,568 2,046 10,770 0
</TABLE>
- --------------------------------------------------------------------------------
(i) To amend, and to make non-fundamental, the Fund's fundamental investment
policy regarding pledging assets.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
13,582,601 5,714 7,068 1
</TABLE>
AGENDA ITEM 4: To eliminate the Fund's fundamental investment policy on selling
securities short.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
13,585,907 2,033 7,443 1
</TABLE>
AGENDA ITEM 5: To approve an amendment and restatement to the Trust's
Declaration of Trust to permit the Board of Trustees to liquidate assets of the
Trust without seeking shareholder approval.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
13,578,232 8,896 8,255 1
</TABLE>
- -------------------------------------------------------------------------------
A Special Meeting of Shareholders of Regions Growth Fund (the "Fund"), a
portfolio of Regions Funds (the "Trust"), was held on June 15, 1999. On April
27, 1999, the record date for shareholders voting at the meeting, there were
26,410,918 total outstanding shares. The following items were considered by
shareholders of the Fund and the results of their voting were as follows:
AGENDA ITEM 1: To elect Trustees.*
<TABLE>
<CAPTION>
SHARES VOTED SHARES WITHHELD
FOR AUTHORITY
- ----------------------------------------------------------------------------------------
<S> <C> <C>
Thomas G. Bigley 23,258,486 7,734
Nicholas P. Constantakis 23,258,561 7,659
John F. Cunningham 23,258,561 7,659
J. Christopher Donahue 23,258,600 7,620
Charles F. Mansfield, Jr. 23,258,741 7,479
John E. Murray, Jr. 23,258,741 7,479
John S. Walsh 23,258,766 7,454
</TABLE>
AGENDA ITEM 2: To ratify the selection of Deloitte & Touche LLP as the Trust's
independent auditors.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
23,236,114 6,488 23,616 --
</TABLE>
AGENDA ITEM 3: To make changes to the Fund's fundamental investment policies:
(a) To amend the Fund's fundamental investment policy regarding diversification.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
23,225,792 11,476 27,354 1
</TABLE>
(b) To amend the Fund's fundamental investment policy regarding borrowing money
and issuing senior securities.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
23,208,555 22,054 34,013 1,598
</TABLE>
- -------------------------------------------------------------------------------
(c) To amend the Fund's fundamental investment policy regarding investments in
real estate.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
23,217,283 22,296 25,043 1,598
</TABLE>
(d) To amend the Fund's fundamental investment policy regarding investments in
commodities.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
23,208,420 24,386 31,817 1,597
</TABLE>
(e) To amend the Fund's fundamental investment policy regarding underwriting
securities.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
23,218,743 18,990 26,889 1,598
</TABLE>
(f) To amend the Fund's fundamental investment policy regarding lending by the
Fund.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
23,215,593 20,671 28,358 1,598
</TABLE>
(g) To amend the Fund's fundamental investment policy regarding concentration of
the Fund's investments in the securities of companies in the same industry.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
23,211,255 16,796 36,571 1,598
</TABLE>
(h) To amend, and to make non-refundamental, the Fund's fundamental investment
policy regarding buying securities on margin.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
23,204,014 31,176 29,433 1,597
</TABLE>
- --------------------------------------------------------------------------------
(i) To amend, and to make non-fundamental, the Fund's fundamental investment
policy regarding pledging assets.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
23,211,387 25,164 28,072 1,597
</TABLE>
AGENDA ITEM 4: To eliminate the Fund's fundamental investment policy on selling
securities short.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
23,211,063 18,763 34,797 1,597
</TABLE>
AGENDA ITEM 5: To approve an amendment and restatement to the Trust's
Declaration of Trust to permit the Board of Trustees to liquidate assets of the
Trust without seeking shareholder approval.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
23,186,569 44,975 33,078 1,598
</TABLE>
- -------------------------------------------------------------------------------
A Special Meeting of Shareholders of Regions Aggressive Growth Fund (the
"Fund"), a portfolio of Regions Funds (the "Trust"), was held on June 15, 1999.
On April 27, 1999, the record date for shareholders voting at the meeting, there
were 5,116,104 total outstanding shares. The following items were considered by
shareholders of the Fund and the results of their voting were as follows:
AGENDA ITEM 1: To elect Trustees.*
<TABLE>
<CAPTION>
SHARES VOTED SHARES WITHHELD
FOR AUTHORITY
- ----------------------------------------------------------------------------------------
<S> <C> <C>
Thomas G. Bigley 4,877,818 0
Nicholas P. Constantakis 4,877,818 0
John F. Cunningham 4,877,818 0
J. Christopher Donahue 4,877,818 0
Charles F. Mansfield, Jr. 4,877,818 0
John E. Murray, Jr. 4,877,818 0
John S. Walsh 4,877,818 0
</TABLE>
AGENDA ITEM 2: To ratify the selection of Deloitte & Touche LLP as the Trust's
independent auditors.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
4,877,818 0 0 --
</TABLE>
AGENDA ITEM 3: To make changes to the Fund's fundamental investment policies:
(a) To amend the Fund's fundamental investment policy regarding diversification.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
4,877,630 187 0 1
</TABLE>
(b) To amend the Fund's fundamental investment policy regarding borrowing money
and issuing senior securities.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
4,877,630 187 0 1
</TABLE>
- -------------------------------------------------------------------------------
(c) To amend the Fund's fundamental investment policy regarding investments in
real estate.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
4,877,630 187 0 1
</TABLE>
(d) To amend the Fund's fundamental investment policy regarding investments in
commodities.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
4,877,630 187 0 1
</TABLE>
(e) To amend the Fund's fundamental investment policy regarding underwriting
securities.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
4,877,630 187 0 1
</TABLE>
(f) To amend the Fund's fundamental investment policy regarding lending by the
Fund.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
4,877,630 187 0 1
</TABLE>
(g) To amend the Fund's fundamental investment policy regarding concentration of
the Fund's investments in the securities of companies in the same industry.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
4,877,630 187 0 1
</TABLE>
(h) To amend, and to make non-fundamental, the Fund's fundamental investment
policy regarding buying securities on margin.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
4,877,630 187 0 1
</TABLE>
- --------------------------------------------------------------------------------
(i) To amend, and to make non-fundamental, the Fund's fundamental investment
policy regarding pledging assets.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
4,877,630 187 0 1
</TABLE>
AGENDA ITEM 4: To eliminate the Fund's fundamental investment policy on selling
securities short.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
4,877,630 187 0 1
</TABLE>
AGENDA ITEM 5: To approve an amendment and restatement to the Trust's
Declaration of Trust to permit the Board of Trustees to liquidate assets of the
Trust without seeking shareholder approval.
The results of shareholders voting were as follows:
<TABLE>
<CAPTION>
SHARES VOTED SHARES VOTED SHARES BROKER
FOR AGAINST ABSTAIN NON VOTE
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
4,877,630 187 0 1
</TABLE>
REGIONS TREASURY MONEY MARKET FUND
PORTFOLIO OF INVESTMENTS
MAY 31, 1999 (UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT
OR SHARES VALUE
------------ -------------------------------------------------- ------------
<C> <S> <C>
U.S. TREASURY OBLIGATIONS--95.3%
---------------------------------------------------------------
U.S. TREASURY BILLS
--------------------------------------------------
$563,000,000 6/3/1999-10/7/1999 $559,436,626
-------------------------------------------------- ------------
U.S. TREASURY NOTE
--------------------------------------------------
3,000,000 5.625%, 10/31/1999 3,008,623
-------------------------------------------------- ------------
TOTAL UNITED STATES TREASURY OBLIGATIONS (AT
AMORTIZED COST) 562,445,249
-------------------------------------------------- ------------
MUTUAL FUNDS SHARES--5.0%
---------------------------------------------------------------
20,116,393 AIM Short-Term Investment Co. Prime Portfolio 20,116,393
--------------------------------------------------
9,606,333 Federated U.S. Treasury Cash Reserves Fund 9,606,333
--------------------------------------------------
10,000 Goldman Sachs Fund Square Trust 10,000
-------------------------------------------------- ------------
TOTAL MUTUAL FUNDS (AT NET ASSET VALUE) 29,732,726
-------------------------------------------------- ------------
TOTAL INVESTMENTS (AT AMORTIZED COST AND VALUE)(1) $592,177,975
-------------------------------------------------- ------------
</TABLE>
(1) Also represents cost for federal tax purposes.
Note: The categories of investments are shown as a percentage of net assets
($590,068,930) at May 31, 1999.
(See Notes which are an integral part of the Financial Statements)
REGIONS LIMITED MATURITY GOVERNMENT FUND
PORTFOLIO OF INVESTMENTS
MAY 31, 1999 (UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT VALUE
---------- ---------------------------------------------------- ------------
<C> <S> <C>
CORPORATE BONDS--21.8%
---------------------------------------------------------------
COMMERCIAL SERVICES--4.6%
----------------------------------------------------
$2,000,000 Donnelley (R.R.) & Sons Co., 6.340%, 6/21/2000 $ 2,010,320
----------------------------------------------------
3,000,000 Dow Jones & Co., 5.750%, 12/1/2000 3,002,100
---------------------------------------------------- ------------
Total 5,012,420
---------------------------------------------------- ------------
CONSUMER NON-DURABLES--1.8%
----------------------------------------------------
2,000,000 PepsiCo, Inc., 5.875%, 6/1/2000 2,009,980
---------------------------------------------------- ------------
CONSUMER SERVICES--5.4%
----------------------------------------------------
2,000,000 Carnival Corp., 5.650%, 10/15/2000 1,990,320
----------------------------------------------------
2,000,000 Disney (Walt) Co., 5.600%, 4/17/2000 2,003,680
----------------------------------------------------
2,000,000 Tribune Co., 5.300%, 4/17/2000 1,992,940
---------------------------------------------------- ------------
Total 5,986,940
---------------------------------------------------- ------------
FINANCE--AUTOMOTIVE--1.8%
----------------------------------------------------
2,000,000 Ford Motor Credit Corp., 6.375%, 10/6/2000 2,013,980
---------------------------------------------------- ------------
FINANCE--COMMERCIAL--2.3%
----------------------------------------------------
500,000 American Express Credit Corp., 6.750%, 6/1/2001 507,255
----------------------------------------------------
2,000,000 General Electric Capital Corp., 5.625%, 4/10/2000 2,001,120
---------------------------------------------------- ------------
Total 2,508,375
---------------------------------------------------- ------------
FINANCE COMPANIES--1.8%
----------------------------------------------------
2,000,000 International Lease Finance Corp., 5.400%, 1/22/2002 1,960,180
---------------------------------------------------- ------------
PRODUCER MANUFACTURING--1.8%
----------------------------------------------------
2,000,000 Cooper Industries, Inc., 5.620%, 2/15/2001 1,981,420
---------------------------------------------------- ------------
RETAIL TRADE--0.5%
----------------------------------------------------
500,000 Penney (J.C.) Co., Inc., 6.375%, 9/15/2000 500,025
---------------------------------------------------- ------------
UTILITIES--1.8%
----------------------------------------------------
2,000,000 Southern California Edison Co., 5.875%, 1/15/2001 1,997,940
---------------------------------------------------- ------------
TOTAL CORPORATE BONDS (IDENTIFIED COST $23,943,750) 23,971,260
---------------------------------------------------- ------------
U.S. GOVERNMENT AGENCIES--49.4%
---------------------------------------------------------------
FEDERAL FARM CREDIT SYSTEM--0.9%
----------------------------------------------------
1,000,000 5.000%, 12/24/2002 972,100
---------------------------------------------------- ------------
FEDERAL HOME LOAN BANK--34.5%
----------------------------------------------------
2,000,000 4.630%, 10/9/2001 1,954,980
----------------------------------------------------
1,000,000 4.675%, 10/15/2002 964,830
----------------------------------------------------
$2,000,000 4.775%, 10/15/2003 $ 1,904,680
----------------------------------------------------
1,000,000 4.875%, 1/22/2002 977,730
----------------------------------------------------
4,000,000 4.910%, 11/19/2001 3,931,560
----------------------------------------------------
3,300,000 5.005%, 12/4/2001 3,249,906
----------------------------------------------------
1,000,000 5.125%, 2/26/2002 983,210
----------------------------------------------------
3,325,000 5.345%, 2/16/2001 3,305,017
----------------------------------------------------
1,800,000 5.400%, 1/15/2003 1,763,586
----------------------------------------------------
3,000,000 5.410%, 3/26/2002 2,964,000
----------------------------------------------------
1,000,000 5.460%, 3/29/2004 974,670
----------------------------------------------------
2,000,000 5.575%, 8/28/2001 1,994,400
----------------------------------------------------
2,000,000 5.580%, 4/9/2001 1,997,200
----------------------------------------------------
3,000,000 5.590%, 3/27/2000 3,007,320
----------------------------------------------------
2,000,000 5.610%, 3/1/2001 1,996,380
----------------------------------------------------
2,000,000 5.620%, 1/12/2001 1,998,880
----------------------------------------------------
2,000,000 5.625%, 6/2/2000 2,005,420
----------------------------------------------------
1,000,000 5.950%, 10/6/2000 1,006,630
----------------------------------------------------
1,000,000 6.100%, 10/9/2002 1,006,600
---------------------------------------------------- ------------
Total 37,986,999
---------------------------------------------------- ------------
FEDERAL HOME LOAN MORTGAGE CORPORATION--0.9%
----------------------------------------------------
1,000,000 5.960%, 10/20/2000 1,006,950
---------------------------------------------------- ------------
FEDERAL NATIONAL MORTGAGE ASSOCIATION--13.1%
----------------------------------------------------
500,000 MTN, 4/8/2003 396,595
----------------------------------------------------
2,000,000 4.625%, 10/15/2001 1,953,180
----------------------------------------------------
1,000,000 5.250%, 1/15/2003 976,860
----------------------------------------------------
2,000,000 5.360%, 2/16/2001 1,990,380
----------------------------------------------------
4,000,000 5.600%, 1/12/2000 4,010,760
----------------------------------------------------
1,000,000 5.600%, 2/2/2001 999,080
----------------------------------------------------
4,000,000 5.860%, 11/7/2000 4,023,320
----------------------------------------------------
Total 14,350,175
---------------------------------------------------- ------------
TOTAL GOVERNMENT AGENCIES (IDENTIFIED COST
$54,746,772) 54,316,224
---------------------------------------------------- ------------
U.S. TREASURY OBLIGATIONS--23.7%
---------------------------------------------------------------
U.S. TREASURY NOTES--23.7%
----------------------------------------------------
$1,500,000 5.250%, 1/31/2001 $ 1,497,885
----------------------------------------------------
3,000,000 5.250%, 5/31/2001 2,991,810
----------------------------------------------------
3,000,000 5.250%, 8/15/2003 2,954,700
----------------------------------------------------
2,000,000 5.375%, 1/31/2000 2,006,360
----------------------------------------------------
4,000,000 5.375%, 6/30/2000 4,008,680
----------------------------------------------------
3,000,000 5.375%, 6/30/2003 2,970,420
----------------------------------------------------
500,000 5.500%, 12/31/2000 501,120
----------------------------------------------------
3,750,000 5.500%, 4/15/2000 3,762,075
----------------------------------------------------
200,000 5.625%, 10/31/1999 200,610
----------------------------------------------------
500,000 5.625%, 11/30/2000 502,150
----------------------------------------------------
1,500,000 5.625%, 2/28/2001 1,506,195
----------------------------------------------------
500,000 5.750%, 10/31/2000 503,040
----------------------------------------------------
1,200,000 5.750%, 11/30/2002 1,204,404
----------------------------------------------------
1,000,000 5.875%, 6/30/2000 1,007,340
----------------------------------------------------
500,000 IO STRIP, 5/15/2001 450,240
----------------------------------------------------
TOTAL U.S. TREASURY OBLIGATIONS (IDENTIFIED COST
$26,061,938) 26,067,029
---------------------------------------------------- ------------
(1)REPURCHASE AGREEMENT--6.9%
---------------------------------------------------------------
7,598,504 GX Clarke & Co., 4.800%, dated 5/28/1999, due
6/1/1999
(AT AMORTIZED COST) 7,598,504
---------------------------------------------------- ------------
TOTAL INVESTMENTS (IDENTIFIED COST $112,350,964)(2) $111,953,017
---------------------------------------------------- ------------
</TABLE>
(1) The repurchase agreement is fully collateralized by U.S. Treasury
obligations based on market prices at the date of the portfolio.
(2) The cost of investments for federal tax purposes amounts to $112,350,964.
The net unrealized depreciation of investments on a federal tax basis
amounts to $397,947 which is comprised of $261,110 appreciation and $659,057
depreciation at May 31, 1999.
Note: The categories of investments are shown as a percentage of net assets
($109,956,857) at May 31, 1999.
The following acronyms are used throughout this portfolio:
IO--Interest Only
MTN--Medium Term Note
STRIP--Separate Trading of Registered Interest & Principal of Security
(See Notes which are an integral part of the Financial Statements)
REGIONS FIXED INCOME FUND
PORTFOLIO OF INVESTMENTS
MAY 31, 1999 (UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT VALUE
----------- --------------------------------------------------- ------------
<C> <S> <C>
CORPORATE BONDS--21.0%
---------------------------------------------------------------
CONSUMER DURABLES--0.4%
---------------------------------------------------
MOTOR VEHICLES
---------------------------------------------------
$ 880,000 Ford Motor Co., Note, 8.875%, 4/1/2006 $ 985,926
--------------------------------------------------- ------------
CONSUMER SERVICES--0.6%
---------------------------------------------------
NEWSPAPERS
---------------------------------------------------
1,650,000 Dow Jones & Co., Note, 5.75%, 12/1/2000 1,651,155
--------------------------------------------------- ------------
CONSUMER NON-DURABLES--4.1%
---------------------------------------------------
PACKAGE GOODS/COSMETICS
---------------------------------------------------
3,000,000 Avon Products, Inc., Sr. Note, 6.55%, 8/1/2007 2,949,330
--------------------------------------------------- ------------
PACKAGED FOODS
---------------------------------------------------
2,500,000 Campbell Soup Co., Bond, 6.15%, 12/1/2002 2,504,425
---------------------------------------------------
5,000,000 Sara Lee Corp., Note, 5.95%, 1/20/2005 4,860,000
--------------------------------------------------- ------------
Total 7,364,425
--------------------------------------------------- ------------
SOFT DRINKS
---------------------------------------------------
1,000,000 PepsiCo, Inc., Note, 5.875%, 6/1/2000 1,004,990
--------------------------------------------------- ------------
Total Consumer Non-Durables 11,318,745
--------------------------------------------------- ------------
FINANCE--9.7%
---------------------------------------------------
FINANCE AUTOMOTIVE
---------------------------------------------------
5,000,000 General Motors Acceptance Corp., Sr. Unsub.,
5.875%, 1/22/2003 4,919,450
--------------------------------------------------- ------------
FINANCE COMPANIES
---------------------------------------------------
1,000,000 Associates Corp. of North America, Sr. Note, 5.75%,
10/15/2003 975,170
---------------------------------------------------
2,000,000 Commercial Credit Co., Note, 5.90%, 9/1/2003 1,958,240
---------------------------------------------------
1,000,000 International Lease Finance Corp., Note, 5.40%,
1/22/2002 980,090
---------------------------------------------------
5,000,000 National Rural Utilities Cooperative Finance Corp.,
Note,
6.046%, 4/15/2003 4,965,600
---------------------------------------------------
5,000,000 Sears Roebuck Acceptance Corp., Bond, 6.00%,
3/20/2003 4,924,850
--------------------------------------------------- ------------
Total 13,803,950
--------------------------------------------------- ------------
INVESTMENT BANKERS/BROKERS/SERVICES
---------------------------------------------------
5,000,000 Merrill Lynch & Co., Inc., Note, 6.00%, 2/12/2003 4,929,200
---------------------------------------------------
2,000,000 Morgan Stanley, Dean Witter & Co., Sr. Unsub.,
5.625%, 1/20/2004 1,933,940
--------------------------------------------------- ------------
Total 6,863,140
--------------------------------------------------- ------------
MAJOR BANKS
---------------------------------------------------
$ 1,000,000 SouthTrust Bank of Alabama, Birmingham, Sub. Note,
7.00%,
11/15/2008 $ 1,012,700
--------------------------------------------------- ------------
Total Finance 26,599,240
--------------------------------------------------- ------------
NON-ENERGY MINERALS--1.5%
---------------------------------------------------
ALUMINUM
---------------------------------------------------
4,000,000 Alcoa, Inc., Note, 5.75%, 2/1/2001 3,988,760
--------------------------------------------------- ------------
PROCESS INDUSTRIES--2.0%
---------------------------------------------------
SPECIALTY CHEMICALS
---------------------------------------------------
2,750,000 Air Products & Chemicals, Inc., Note, 6.25%,
6/15/2003 2,731,768
---------------------------------------------------
3,000,000 Lubrizol Corp., 5.875%, 12/1/2008 2,819,430
--------------------------------------------------- ------------
Total Process Industries 5,551,198
--------------------------------------------------- ------------
UTILITIES--2.7%
---------------------------------------------------
ELECTRIC UTILITIES: WEST
---------------------------------------------------
3,000,000 Southern California Edison Co., Sr. Note, 5.875%,
1/15/2001 2,996,910
--------------------------------------------------- ------------
MAJOR U.S. TELECOMMUNICATIONS
---------------------------------------------------
2,400,000 BellSouth Telecommunications, Inc., Note, 6.00%,
6/15/2002 2,395,248
---------------------------------------------------
2,000,000 New York Telephone Co., Unsecd. Note, 5.875%,
9/1/2003 1,967,280
--------------------------------------------------- ------------
Total 4,362,528
--------------------------------------------------- ------------
Total Utilities 7,359,438
--------------------------------------------------- ------------
TOTAL CORPORATE BONDS (IDENTIFIED COST $58,175,927) 57,454,462
--------------------------------------------------- ------------
CORPORATE NOTES--5.5%
---------------------------------------------------------------
CONSUMER SERVICES--1.5%
---------------------------------------------------
HOTELS/RESORTS
---------------------------------------------------
4,000,000 Carnival Corp., Note, 5.65%, 10/15/2000 3,980,640
--------------------------------------------------- ------------
FINANCE--3.6%
---------------------------------------------------
FINANCE COMPANIES
---------------------------------------------------
2,000,000 American General Finance Corp., Note, 6.05%,
4/9/2003 1,969,800
---------------------------------------------------
2,000,000 Associates Corp. of North America, Sr. Note, 6.50%,
7/15/2002 2,012,420
---------------------------------------------------
1,000,000 Associates Corp. of North America, Sr. Note,
6.875%, 8/1/2003 1,014,550
---------------------------------------------------
5,000,000 Ford Motor Credit Corp., Sr. Note, 6.00%, 1/14/2003 4,927,200
--------------------------------------------------- ------------
Total Finance 9,923,970
--------------------------------------------------- ------------
HEALTH TECHNOLOGY--0.4%
---------------------------------------------------
MAJOR PHARMACEUTICALS
---------------------------------------------------
$ 1,000,000 Warner-Lambert Co., Note, 5.75%, 1/15/2003 $ 984,730
--------------------------------------------------- ------------
TOTAL CORPORATE NOTES (IDENTIFIED COST $14,981,680) 14,889,340
--------------------------------------------------- ------------
U.S. GOVERNMENT AGENCIES--58.7%
---------------------------------------------------------------
FEDERAL FARM CREDIT BANK
---------------------------------------------------
2,000,000 5.00%, 12/24/2002 1,944,200
---------------------------------------------------
3,200,000 5.10%, 11/9/2005 3,015,840
---------------------------------------------------
3,000,000 5.25%, 12/28/2005 2,851,440
---------------------------------------------------
1,000,000 5.75%, 9/1/2005 978,040
---------------------------------------------------
5,540,000 5.79%, 3/15/2006 5,402,054
---------------------------------------------------
1,000,000 5.90%, 1/10/2005 987,010
---------------------------------------------------
1,000,000 5.92%, 12/18/2002 1,001,290
---------------------------------------------------
1,000,000 MTN, 5.55%, 2/24/2006 960,660
---------------------------------------------------
2,000,000 MTN, 5.70%, 4/28/2006 1,939,920
--------------------------------------------------- ------------
Total 19,080,454
--------------------------------------------------- ------------
FEDERAL HOME LOAN BANK
---------------------------------------------------
4,000,000 4.775%, 10/15/2003 3,809,360
---------------------------------------------------
2,000,000 4.875%, 1/22/2002 1,955,460
---------------------------------------------------
1,500,000 4.91%, 11/19/2001 1,474,335
---------------------------------------------------
5,850,000 4.97%, 11/5/2003 5,734,229
---------------------------------------------------
7,300,000 5.005%, 12/4/2001 7,189,185
---------------------------------------------------
1,000,000 5.005%, 10/1/2003 961,350
---------------------------------------------------
2,200,000 5.08%, 10/14/2005 2,072,158
---------------------------------------------------
5,000,000 5.10%, 2/5/2004 4,804,500
---------------------------------------------------
1,750,000 5.125%, 2/26/2002 1,720,618
---------------------------------------------------
3,000,000 5.125%, 9/15/2003 2,901,780
---------------------------------------------------
2,000,000 5.135%, 9/23/2003 1,932,780
---------------------------------------------------
1,000,000 5.19%, 9/23/2003 966,980
---------------------------------------------------
2,000,000 5.345%, 2/16/2001 1,987,980
---------------------------------------------------
5,200,000 5.375%, 2/13/2001 5,177,172
---------------------------------------------------
1,000,000 5.41%, 3/26/2002 988,000
---------------------------------------------------
5,000,000 5.44%, 4/15/2004 4,860,100
---------------------------------------------------
2,000,000 5.46%, 3/29/2004 1,949,340
---------------------------------------------------
3,000,000 5.62%, 1/12/2001 2,998,320
---------------------------------------------------
$ 1,000,000 5.625%, 6/2/2000 $ 1,002,710
4,000,000 5.69%, 6/19/2003 3,950,080
4,000,000 5.70%, 3/25/2003 3,950,080
---------------------------------------------------
2,000,000 5.717%, 8/25/2003 1,973,800
---------------------------------------------------
1,000,000 5.72%, 3/6/2003 988,330
---------------------------------------------------
4,925,000 5.76%, 4/9/2003 4,873,041
---------------------------------------------------
4,000,000 5.80%, 3/30/2009 3,880,000
---------------------------------------------------
2,000,000 5.805%, 8/24/2005 1,959,800
---------------------------------------------------
1,000,000 5.86%, 12/30/2002 999,360
---------------------------------------------------
3,000,000 6.14%, 12/10/2004 3,011,247
---------------------------------------------------
2,800,000 Series BG08, 5.85%, 2/27/2008 2,704,240
---------------------------------------------------
3,000,000 Series F5-2001, 5.52%, 1/22/2001 2,990,820
---------------------------------------------------
2,000,000 Series KY-2003, 5.37%, 1/16/2003 1,957,580
---------------------------------------------------
2,000,000 Series V502, 4.675%, 10/15/2002 1,929,660
--------------------------------------------------- ------------
Total 89,650,435
--------------------------------------------------- ------------
FEDERAL HOME LOAN MORTGAGE CORPORATION
---------------------------------------------------
2,000,000 6.625%, 11/28/2005 1,999,400
---------------------------------------------------
2,000,000 7.53%, 8/7/2006 2,051,900
---------------------------------------------------
314,132 Series 1414, Class F, 4.93%, 11/15/2007 322,594
--------------------------------------------------- ------------
903,251 Series 1475, Class O, 7.00%, 2/15/2008 902,555
--------------------------------------------------- ------------
Total 5,276,449
--------------------------------------------------- ------------
FEDERAL NATIONAL MORTGAGE ASSOCIATION
---------------------------------------------------
2,500,000 Discount Note 10/8/2004 1,806,100
---------------------------------------------------
3,500,000 Discount Note 4/8/2003 2,776,165
---------------------------------------------------
2,750,000 4.625%, 10/15/2001 2,685,623
---------------------------------------------------
2,000,000 5.125%, 2/13/2004 1,926,620
---------------------------------------------------
1,000,000 5.36%, 2/16/2001 995,190
---------------------------------------------------
4,648,185 6.00%, 9/1/2013 4,537,790
---------------------------------------------------
1,100,000 6.31%, 11/1/2004 1,109,834
---------------------------------------------------
5,000,000 7.09%, 3/13/2007 5,090,750
---------------------------------------------------
2,000,000 7.27%, 2/14/2007 2,016,960
---------------------------------------------------
10,000,000 7.55%, 3/27/2007 10,137,900
---------------------------------------------------
3,716,165 Series G93-32, Class J, 6.75%, 5/25/2009 3,752,175
---------------------------------------------------
3,000,000 MTN, 7.11%, 3/20/2006 3,036,120
---------------------------------------------------
$ 2,000,000 Unsecured Note, MTN, 7.07%, 10/24/2006 $ 2,032,640
--------------------------------------------------- ------------
Total 41,903,867
--------------------------------------------------- ------------
1,977,392 6.00%, 2/15/2014 1,932,288
---------------------------------------------------
1,258,359 6.00%, 2/15/2014 1,229,655
---------------------------------------------------
Total 3,161,943
---------------------------------------------------
Tennessee Valley Authority
--------------------------------------------------- ------------
2,313,000 10/15/2003 1,777,494
---------------------------------------------------
TOTAL GOVERNMENT AGENCIES (IDENTIFIED COST
$163,012,904) 160,850,642
--------------------------------------------------- ------------
U.S. TREASURY OBLIGATIONS--11.6%
---------------------------------------------------------------
U.S. TREASURY BONDS
---------------------------------------------------
12,250,000 IO, 02/15/2006 8,319,587
---------------------------------------------------
7,000,000 7.50%, 5/15/2002 7,365,190
--------------------------------------------------- ------------
Total 15,684,777
--------------------------------------------------- ------------
U.S. TREASURY NOTES
---------------------------------------------------
2,000,000 4.25%, 11/15/2003 1,892,080
---------------------------------------------------
5,000,000 5.25%, 8/15/2003 4,924,500
---------------------------------------------------
3,300,000 5.50%, 1/31/2003 3,285,051
---------------------------------------------------
1,000,000 5.625%, 10/31/1999 1,003,050
---------------------------------------------------
3,000,000 5.625%, 2/15/2006 2,973,840
---------------------------------------------------
2,000,000 7.50%, 11/15/2001 2,087,160
--------------------------------------------------- ------------
Total 16,165,681
--------------------------------------------------- ------------
TOTAL U.S. TREASURY OBLIGATIONS (IDENTIFIED COST
$31,236,234) 31,850,458
--------------------------------------------------- ------------
(1)REPURCHASE AGREEMENT--2.4%
---------------------------------------------------------------
$ 6,495,751 GX Clarke & Co., 4.80%, dated 5/28/1999, due
6/1/1999
(AT AMORTIZED COST) $ 6,495,751
--------------------------------------------------- ------------
TOTAL INVESTMENTS (IDENTIFIED COST $273,902,496)(2) $271,540,653
--------------------------------------------------- ------------
</TABLE>
(1) The repurchase agreement is fully collateralized by U.S. Treasury
obligations based on market prices at the date of the portfolio.
(2) The cost of investments for federal tax purposes amounts to $273,902,496.
The net unrealized depreciation of investments on a federal tax basis
amounts to $2,361,843 which is comprised of $1,680,643 appreciation and
$4,042,486 depreciation at May 31, 1999.
Note: The categories of investments are shown as a percentage of net assets
($273,865,784) at May 31, 1999.
The following acronyms are used throughout this portfolio:
IO-- Interest Only
MTN -- Medium Term Note
(See Notes which are an integral part of the Financial Statements)
REGIONS BALANCED FUND
PORTFOLIO OF INVESTMENTS
MAY 31, 1999 (UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
---------- --------------------------- ------------
<C> <S> <C>
COMMON STOCKS--50.6%
--------------------------------------
CONSUMER DURABLES--1.9%
---------------------------
HOME FURNISHINGS
---------------------------
2,500 Newell Rubbermaid, Inc. $ 101,250
--------------------------- ------------
SOFT DRINKS
---------------------------
21,500 Coca-Cola Co. 1,468,719
---------------------------
32,000 PepsiCo, Inc. 1,146,000
--------------------------- ------------
Total 2,614,719
--------------------------- ------------
PHOTOGRAPHIC PRODUCTS
---------------------------
4,000 Eastman Kodak Co. 270,500
--------------------------- ------------
Total Consumer Durables 2,986,469
--------------------------- ------------
CONSUMER NON-DURABLES--4.4%
---------------------------
PACKAGE GOODS/COSMETICS
---------------------------
10,000 Avon Products, Inc. 494,375
---------------------------
11,000 Colgate-Palmolive Co. 1,098,625
---------------------------
16,000 Dial Corp. 500,000
---------------------------
13,700 Gillette Co. 698,700
---------------------------
16,000 Kimberly-Clark Corp. 939,000
---------------------------
12,600 Procter & Gamble Co. 1,176,525
--------------------------- ------------
Total 4,907,225
--------------------------- ------------
PACKAGED FOODS
---------------------------
8,500 General Mills, Inc. 683,188
---------------------------
24,000 Sara Lee Corp. 576,000
--------------------------- ------------
Total 1,259,188
--------------------------- ------------
TOBACCO
---------------------------
19,000 Philip Morris Cos., Inc. 732,688
--------------------------- ------------
Total Consumer Non-Durables 6,899,101
--------------------------- ------------
CONSUMER SERVICES--1.4%
---------------------------
FOOD DISTRIBUTORS
---------------------------
24,000 Sysco Corp. 712,500
--------------------------- ------------
MEDIA CONGLOMERATES
---------------------------
24,000 Disney (Walt) Co. 699,000
--------------------------- ------------
RESTAURANTS
---------------------------
22,000 McDonald's Corp. 847,000
--------------------------- ------------
Total Consumer Services 2,258,500
--------------------------- ------------
</TABLE>
REGIONS BALANCED FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
---------- ------------------------------------- ------------
<C> <S> <C>
COMMON STOCKS--CONTINUED
------------------------------------------------
ENERGY MINERALS--2.9%
-------------------------------------
INTEGRATED OIL COMPANIES
-------------------------------------
8,800 Chevron Corp. $ 815,650
-------------------------------------
23,200 Exxon Corp. 1,853,100
-------------------------------------
9,800 Mobil Corp. 992,250
-------------------------------------
15,000 Texaco, Inc. 982,500
------------------------------------- ------------
Total Energy Minerals 4,643,500
------------------------------------- ------------
ELECTRONIC TECHNOLOGY--8.4%
-------------------------------------
AEROSPACE
-------------------------------------
5,000 Lockheed Martin Corp. 202,187
------------------------------------- ------------
COMPUTER COMMUNICATIONS
-------------------------------------
16,825 (1) Cisco Systems, Inc. 1,833,925
------------------------------------- ------------
ELECTRONIC DATA PROCESSING
-------------------------------------
24,000 Compaq Computer Corp. 568,500
-------------------------------------
8,500 (1) Gateway 2000, Inc. 516,906
-------------------------------------
18,000 International Business Machines Corp. 2,093,625
-------------------------------------
12,000 (1) Sun Microsystems, Inc. 717,000
------------------------------------- ------------
Total 3,896,031
------------------------------------- ------------
ELECTRONICS--DEFENSE
-------------------------------------
3,000 Raytheon Co., Class B 204,187
------------------------------------- ------------
SEMICONDUCTORS
-------------------------------------
33,000 Intel Corp. 1,784,062
------------------------------------- ------------
TELECOMMUNICATIONS EQUIPMENT
-------------------------------------
46,000 Lucent Technologies, Inc. 2,616,250
-------------------------------------
7,500 Motorola, Inc. 621,094
-------------------------------------
8,100 Nortel Networks Corp. 607,500
-------------------------------------
24,000 (1) Tellabs, Inc. 1,404,000
------------------------------------- ------------
Total 5,248,844
------------------------------------- ------------
Total Electronic Technology 13,169,236
------------------------------------- ------------
FINANCE--10.6%
-------------------------------------
MAJOR BANKS
-------------------------------------
19,000 Bank of America Corp. 1,229,063
-------------------------------------
12,500 Chase Manhattan Corp. 906,250
-------------------------------------
13,700 First Union Corp. 631,056
-------------------------------------
27,000 Wells Fargo Co. 1,080,000
------------------------------------- ------------
Total 3,846,369
------------------------------------- ------------
</TABLE>
REGIONS BALANCED FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
---------- ------------------------------------- ------------
<C> <S> <C>
COMMON STOCKS--CONTINUED
------------------------------------------------
FINANCE--CONTINUED
-------------------------------------
FINANCIAL COMPANIES
-------------------------------------
17,000 Federal National Mortgage Association $ 1,156,000
-------------------------------------
12,300 Household International, Inc. 533,512
-------------------------------------
13,500 MBNA Corp. 372,937
-------------------------------------
30,500 S&P Depositary Receipts Trust, ADR 3,971,195
------------------------------------- ------------
Total 6,033,644
------------------------------------- ------------
DIVERSIFIED FINANCIAL SERVICES
-------------------------------------
11,000 American Express Co. 1,333,062
-------------------------------------
346 (1) Berkshire Hathaway, Inc., Class B 802,028
-------------------------------------
21,900 Citigroup, Inc. 1,450,875
------------------------------------- ------------
Total 3,585,965
------------------------------------- ------------
LIFE INSURANCE
-------------------------------------
8,500 American General Corp. 614,125
-------------------------------------
6,800 Jefferson-Pilot Corp. 460,275
-------------------------------------
11,000 Torchmark Corp. 367,125
------------------------------------- ------------
Total 1,441,525
------------------------------------- ------------
MULTILINE INSURANCE
-------------------------------------
15,800 American International Group, Inc. 1,806,138
------------------------------------- ------------
Total Finance 16,713,641
------------------------------------- ------------
HEALTH TECHNOLOGY--5.8%
-------------------------------------
MAJOR PHARMACEUTICALS
-------------------------------------
33,000 American Home Products Corp. 1,901,625
-------------------------------------
23,800 Bristol-Myers Squibb Co. 1,633,275
-------------------------------------
14,500 Johnson & Johnson 1,343,063
-------------------------------------
28,000 Merck & Co., Inc. 1,890,000
-------------------------------------
15,000 Pfizer, Inc. 1,605,000
-------------------------------------
18,000 Schering Plough Corp. 811,125
------------------------------------- ------------
Total Health Technology 9,184,088
------------------------------------- ------------
INDUSTRIAL SERVICES--0.6%
-------------------------------------
OILFIELD SERVICES/EQUIPMENT
-------------------------------------
10,500 Halliburton Co. 434,438
-------------------------------------
9,000 Schlumberger Ltd. 541,688
------------------------------------- ------------
Total Industrial Services 976,126
------------------------------------- ------------
</TABLE>
REGIONS BALANCED FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
---------- ------------------------------- -------------
<C> <S> <C>
COMMON STOCKS--CONTINUED
------------------------------------------
PROCESS INDUSTRIES--2.5%
-------------------------------
PAPER
-------------------------------
2,000 International Paper Co. $ 100,000
-------------------------------
2,500 Mead Corp. 93,438
------------------------------- -------------
Total 193,438
------------------------------- -------------
MULTI-SECTOR COMPANIES
-------------------------------
30,600 General Electric Co. 3,111,637
-------------------------------
8,800 Du Pont (E.I.) de Nemours & Co. 575,850
------------------------------- -------------
Total 3,687,487
------------------------------- -------------
Total Process Industries 3,880,925
------------------------------- -------------
PRODUCER MANUFACTURING--1.4%
-------------------------------
AUTOMOBILES
-------------------------------
3,495 (1) Delphi Auto Systems Corp. 68,583
-------------------------------
9,500 Ford Motor Co. 542,094
-------------------------------
5,000 General Motors Corp. 345,000
------------------------------- -------------
Total 955,677
------------------------------- -------------
MACHINERY-DIVERSIFIED
-------------------------------
4,500 Deere & Co. 171,281
-------------------------------
1,500 Ingersoll-Rand Co. 95,531
------------------------------- -------------
Total 266,812
------------------------------- -------------
MANUFACTURE-DIVERSIFIED
-------------------------------
4,500 Illinois Tool Works, Inc. 345,375
-------------------------------
6,500 Tyco International Ltd. 567,938
------------------------------- -------------
Total 913,313
------------------------------- -------------
Total Producer Manufacturing 2,135,802
------------------------------- -------------
RETAIL TRADE--2.6%
-------------------------------
BUILDING MATERIALS CHAINS
-------------------------------
17,000 Home Depot, Inc. 966,875
------------------------------- -------------
DISCOUNT STORES
-------------------------------
7,500 Dayton-Hudson Corp. 472,500
-------------------------------
53,000 Wal-Mart Stores, Inc. 2,259,125
------------------------------- -------------
Total 2,731,625
------------------------------- -------------
DRUG STORE CHAINS
-------------------------------
8,000 Walgreen Co. 186,000
------------------------------- -------------
</TABLE>
REGIONS BALANCED FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL
AMOUNT VALUE
---------- ------------------------------------------------- ------------
<C> <S> <C>
COMMON STOCKS--CONTINUED
------------------------------------------------------------
RETAIL TRADE--CONTINUED
-------------------------------------------------
FOOD CHAINS
-------------------------------------------------
5,500 Albertsons, Inc. $ 294,250
------------------------------------------------- ------------
Total Retail Trade 4,178,750
------------------------------------------------- ------------
TECHNOLOGY SERVICES--2.8%
-------------------------------------------------
COMPUTER SOFTWARE
-------------------------------------------------
11,000 (1) BMC Software, Inc. 543,812
-------------------------------------------------
4,500 Computer Associates International, Inc. 212,906
-------------------------------------------------
45,000 (1) Microsoft Corp. 3,630,937
------------------------------------------------- ------------
Total Technology Services 4,387,655
------------------------------------------------- ------------
UTILITIES--5.3%
-------------------------------------------------
ELECTRIC UTILITIES: SOUTH
-------------------------------------------------
5,000 Duke Energy Corp. 301,562
-------------------------------------------------
15,000 Florida Progress Corp. 629,062
-------------------------------------------------
10,800 SCANA Corp. 288,225
-------------------------------------------------
20,000 Southern Co. 567,500
------------------------------------------------- ------------
Total 1,786,349
------------------------------------------------- ------------
NATURAL GAS
-------------------------------------------------
5,500 Williams Cos., Inc. (The) 284,969
------------------------------------------------- ------------
MAJOR U.S. TELECOMMUNICATIONS
-------------------------------------------------
18,600 Ameritech Corp. 1,224,113
-------------------------------------------------
16,500 Bell Atlantic Corp. 903,375
-------------------------------------------------
26,000 BellSouth Corp. 1,226,875
-------------------------------------------------
21,100 (1) MCI Worldcom, Inc. 1,822,513
-------------------------------------------------
21,000 SBC Communications, Inc. 1,073,625
------------------------------------------------- ------------
Total 6,250,501
------------------------------------------------- ------------
Total Utilities 8,321,819
------------------------------------------------- ------------
TOTAL COMMON STOCKS (IDENTIFIED COST $49,543,687) 79,735,612
------------------------------------------------- ------------
CORPORATE BONDS--6.9%
------------------------------------------------------------
CONSUMER DURABLES--0.1%
-------------------------------------------------
MOTOR VEHICLES
-------------------------------------------------
$ 120,000 Ford Motor Co., Note, 8.875%, 4/1/2006 134,444
------------------------------------------------- ------------
CONSUMER NON-DURABLES--0.3%
-------------------------------------------------
PACKAGE GOODS/COSMETICS
-------------------------------------------------
500,000 Avon Products, Inc., Sr. Note, 6.55%, 8/1/2007 491,555
------------------------------------------------- ------------
</TABLE>
REGIONS BALANCED FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT VALUE
---------- ---------------------------------------------------- ------------
<C> <S> <C>
CORPORATE BONDS--CONTINUED
---------------------------------------------------------------
CONSUMER SERVICES--0.7%
----------------------------------------------------
NEWSPAPERS
----------------------------------------------------
$1,000,000 Dow Jones & Co., Note, 5.75%, 12/1/2000 $ 1,000,700
---------------------------------------------------- ------------
FINANCE--3.7%
----------------------------------------------------
FINANCE COMPANIES
----------------------------------------------------
2,000,000 Commercial Credit Co., Note, 5.90%, 9/1/2003 1,958,240
----------------------------------------------------
425,000 National Rural Utilities Cooperative Finance Corp.,
Note,
6.046%, 4/15/2003 422,076
----------------------------------------------------
1,000,000 Sears Roebuck Acceptance Corp., Bond, 6.00%,
3/20/2003 983,800
---------------------------------------------------- ------------
Total 3,364,116
---------------------------------------------------- ------------
INVESTMENT BANKERS/BROKERS/SERVICES
----------------------------------------------------
500,000 Merrill Lynch & Co., Inc., Note, 6.00%, 1/15/2001 500,620
----------------------------------------------------
1,000,000 Merrill Lynch & Co., Inc., Note, 6.00%, 2/12/2003 985,840
----------------------------------------------------
1,000,000 Morgan Stanley, Dean Witter & Co., Sr. Unsub.,
5.625%, 1/20/2004 966,970
---------------------------------------------------- ------------
Total 2,453,430
---------------------------------------------------- ------------
Total Finance 5,817,546
---------------------------------------------------- ------------
PROCESS INDUSTRIES--1.2%
----------------------------------------------------
SPECIALTY CHEMICALS
----------------------------------------------------
1,000,000 Air Products & Chemicals, Inc., Note, 6.25%,
6/15/2003 993,370
----------------------------------------------------
1,000,000 Lubrizol Corp., 5.875%, 12/1/2008 939,810
---------------------------------------------------- ------------
Total Process Industries 1,933,180
---------------------------------------------------- ------------
RETAIL TRADE--0.3%
----------------------------------------------------
DEPARTMENT STORES
----------------------------------------------------
500,000 Penney (J.C.) Co., Inc., Sr. Note, Series A, 6.375%,
9/15/2000 500,025
---------------------------------------------------- ------------
UTILITIES--0.6%
----------------------------------------------------
ELECTRIC UTILITIES: WEST
----------------------------------------------------
1,000,000 Pacific Gas & Electric Co., 1st Ref. Mtg., 5.875%,
10/1/2005 965,410
---------------------------------------------------- ------------
TOTAL CORPORATE BONDS (IDENTIFIED COST $11,010,122) 10,842,860
---------------------------------------------------- ------------
CORPORATE NOTES--4.0%
---------------------------------------------------------------
FINANCE COMPANIES--3.1%
----------------------------------------------------
1,000,000 American General Finance Corp., Note, 6.05%,
4/9/2003 984,900
----------------------------------------------------
600,000 Associates Corp. of North America, Sr. Note, 6.50%,
7/15/2002 603,726
----------------------------------------------------
500,000 Associates Corp. of North America, Sr. Note, 6.875%,
8/1/2003 507,275
----------------------------------------------------
2,850,000 NationsBank Corp., Sr. Note, 5.80%, 1/31/2001 2,844,186
---------------------------------------------------- ------------
Total 4,940,087
---------------------------------------------------- ------------
</TABLE>
REGIONS BALANCED FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT VALUE
---------- -------------------------------------------------- ------------
<C> <S> <C>
CORPORATE NOTES--CONTINUED
-------------------------------------------------------------
HOTELS/RESORTS--0.6%
--------------------------------------------------
$1,000,000 Carnival Corp., Note, 5.65%, 10/15/2000 $ 995,160
-------------------------------------------------- ------------
MAJOR PHARMACEUTICALS--0.3%
--------------------------------------------------
400,000 Warner-Lambert Co., Note, 5.75%, 1/15/2003 393,892
-------------------------------------------------- ------------
TOTAL CORPORATE NOTES (IDENTIFIED COST $6,318,319) 6,329,139
-------------------------------------------------- ------------
U.S. GOVERNMENT AGENCIES--23.8%
-------------------------------------------------------------
FEDERAL FARM CREDIT BANK
--------------------------------------------------
2,000,000 5.10%, 11/9/2005 1,884,900
--------------------------------------------------
1,000,000 5.79%, 3/15/2006 975,100
--------------------------------------------------
500,000 5.90%, 1/10/2005 493,505
--------------------------------------------------
1,000,000 5.92%, 12/18/2002 1,001,290
--------------------------------------------------
1,000,000 MTN, 5.70%, 4/28/2006 969,960
-------------------------------------------------- ------------
Total 5,324,755
-------------------------------------------------- ------------
FEDERAL HOME LOAN BANK
--------------------------------------------------
1,000,000 4.63%, 10/9/2001 977,490
--------------------------------------------------
1,000,000 4.875%, 1/22/2002 977,730
--------------------------------------------------
2,000,000 4.91%, 11/19/2001 1,965,780
--------------------------------------------------
1,000,000 5.005%, 10/1/2003 961,350
--------------------------------------------------
2,000,000 5.08%, 10/14/2005 1,883,780
--------------------------------------------------
1,000,000 5.125%, 2/26/2002 983,210
--------------------------------------------------
1,000,000 5.125%, 9/15/2003 967,260
--------------------------------------------------
2,000,000 5.19%, 9/23/2003 1,933,960
--------------------------------------------------
500,000 5.41%, 3/26/2002 494,000
--------------------------------------------------
1,000,000 5.46%, 3/29/2004 974,670
--------------------------------------------------
1,000,000 5.70%, 3/25/2003 987,520
--------------------------------------------------
1,000,000 5.717%, 8/25/2003 986,900
--------------------------------------------------
2,000,000 5.805%, 8/24/2005 1,959,800
--------------------------------------------------
1,000,000 6.10%, 10/9/2002 1,006,600
--------------------------------------------------
3,000,000 Series BG08, 5.85%, 2/27/2008 2,897,400
--------------------------------------------------
1,550,000 Series F5-2001, 5.52%, 1/22/2001 1,545,257
--------------------------------------------------
2,000,000 Series KY-2003, 5.37%, 1/16/2003 1,957,580
--------------------------------------------------
1,000,000 Series V502, 4.675%, 10/15/2002 964,830
-------------------------------------------------- ------------
Total 24,425,117
-------------------------------------------------- ------------
FEDERAL NATIONAL MORTGAGE ASSOCIATION
--------------------------------------------------
1,500,000 Discount Note, 10/8/2004 1,083,660
--------------------------------------------------
</TABLE>
REGIONS BALANCED FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT VALUE
---------- ------------------------------------------------ ------------
<C> <S> <C>
U.S. GOVERNMENT AGENCIES--CONTINUED
-----------------------------------------------------------
FEDERAL NATIONAL MORTGAGE ASSOCIATION--CONTINUED
------------------------------------------------
$ 500,000 Series G93-32, Class J, 6.75%, 5/25/2009 $ 504,845
------------------------------------------------
1,000,000 6.09%, 8/21/2000 1,007,930
------------------------------------------------
1,000,000 6.70%, 12/12/2006 1,004,380
------------------------------------------------
500,000 6.82%, 12/13/2006 502,490
------------------------------------------------ ------------
Total 4,103,305
------------------------------------------------ ------------
GOVERNMENT NATIONAL MORTGAGE ASSOCIATION
------------------------------------------------
988,696 6.00%, 2/15/2014 966,144
------------------------------------------------
494,367 6.00%, 2/15/2014 483,091
------------------------------------------------ ------------
Total 1,449,235
------------------------------------------------ ------------
TENNESSEE VALLEY AUTHORITY
------------------------------------------------
1,500,000 10/15/2003 1,152,720
------------------------------------------------
1,000,000 6.00%, 11/1/2000 1,007,640
------------------------------------------------ ------------
Total 2,160,360
------------------------------------------------ ------------
TOTAL U.S. GOVERNMENT AGENCIES (IDENTIFIED COST
$38,251,881) 37,462,772
------------------------------------------------ ------------
U.S. TREASURY OBLIGATIONS--8.4%
-----------------------------------------------------------
U.S. TREASURY NOTES
------------------------------------------------
2,000,000 STRIPS, IO, 02/15/2006 1,358,300
------------------------------------------------
2,500,000 STRIPS, IO, 05/15/2001 2,251,200
------------------------------------------------
700,000 4.25%, 11/15/2003 662,228
------------------------------------------------
1,000,000 4.50%, 9/30/2000 989,940
------------------------------------------------
2,000,000 5.25%, 8/15/2003 1,969,800
------------------------------------------------
2,000,000 5.50%, 1/31/2003 1,990,940
------------------------------------------------
1,000,000 5.625%, 2/15/2006 991,280
------------------------------------------------
1,000,000 5.625%, 2/28/2001 1,004,130
------------------------------------------------
1,000,000 6.25%, 2/15/2003 1,020,130
------------------------------------------------
1,000,000 7.50%, 5/15/2002 1,052,170
------------------------------------------------ ------------
TOTAL U.S. TREASURY OBLIGATIONS (IDENTIFIED COST
$13,131,174) 13,290,118
------------------------------------------------ ------------
</TABLE>
REGIONS BALANCED FUND
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT VALUE
---------- ----------------------- ------------
<C> <S> <C>
(2)REPURCHASE AGREEMENT--5.5%
----------------------------------
$8,641,825 GX Clarke & Co., 4.80%,
dated 5/28/1999, due
6/1/1999
(AT AMORTIZED COST) $ 8,641,825
----------------------- ------------
TOTAL INVESTMENTS
(IDENTIFIED COST
$126,897,008)(3) $156,302,326
----------------------- ------------
</TABLE>
(1) Non-income producing security.
(2) The repurchase agreement is fully collateralized by U.S. Treasury
obligations based on market prices at the date of the portfolio.
(3) The cost of investments for federal tax purposes amounts to $126,897,008.
The net unrealized appreciation of investments on a federal tax basis
amounts to $29,405,318 which is comprised of $31,596,217 appreciation and
$2,190,899 depreciation at May 31, 1999.
Note: The categories of investments are shown as a percentage of net assets
($157,513,444) at May 31, 1999.
The following acronyms are used throughout this portfolio:
ADR -- American Depositary Receipt
IO -- Interest Only
MTN -- Medium Term Note
STRIPS -- Separate Trading of Registered Interest & Principal of Securities
(See Notes which are an integral part of the Financial Statements)
REGIONS VALUE FUND
PORTFOLIO OF INVESTMENTS
MAY 31, 1999 (UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
---------- --------------------------------- ------------
<C> <S> <C>
COMMON STOCKS--97.2%
--------------------------------------------
COMMERCIAL SERVICES--1.8%
---------------------------------
COMMERCIAL SERVICES/MISCELLANEOUS
---------------------------------
40,000 (1) Cendant Corp. $ 737,500
--------------------------------- ------------
COMPUTERS SERVICES
---------------------------------
22,000 (1) Computer Sciences Corp. 1,423,125
---------------------------------
23,000 Electronic Data Systems Corp. 1,293,750
--------------------------------- ------------
Total 2,716,875
--------------------------------- ------------
DATA PROCESSING
---------------------------------
21,000 First Data Corp. 943,688
--------------------------------- ------------
FOOD DISTRIBUTORS
---------------------------------
20,000 ConAgra, Inc. 521,250
--------------------------------- ------------
Total Commercial Services 4,919,313
--------------------------------- ------------
CONSUMER DURABLES--4.8%
---------------------------------
FOOTWEAR
---------------------------------
13,000 Nike, Inc., Class B 792,187
--------------------------------- ------------
MOTOR VEHICLES
---------------------------------
63,000 Ford Motor Co. 3,594,937
---------------------------------
36,000 General Motors Corp. 2,484,000
--------------------------------- ------------
Total 6,078,937
--------------------------------- ------------
NEWSPAPERS
---------------------------------
20,000 Gannett Co., Inc. 1,445,000
---------------------------------
6,000 Tribune Co. 473,625
--------------------------------- ------------
Total 1,918,625
--------------------------------- ------------
PHOTOGRAPHIC PRODUCTS
---------------------------------
25,000 Eastman Kodak Co. 1,690,625
---------------------------------
32,000 Xerox Corp. 1,798,000
--------------------------------- ------------
Total 3,488,625
--------------------------------- ------------
PUBLISHING
---------------------------------
10,000 McGraw-Hill Co., Inc. 518,750
--------------------------------- ------------
Total Consumer Durables 12,797,124
--------------------------------- ------------
CONSUMER NON-DURABLES--0.6%
---------------------------------
TOBACCO
---------------------------------
50,000 RJR Nabisco Holdings Corp. 1,546,875
--------------------------------- ------------
</TABLE>
REGIONS VALUE FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
---------- -------------------------------------- ------------
<C> <S> <C>
COMMON STOCKS--CONTINUED
-------------------------------------------------
CONSUMER SERVICES--7.1%
--------------------------------------
BROADCASTING
--------------------------------------
34,000 CBS Corp. $ 1,419,500
--------------------------------------
13,000 (1) Clear Channel Communications, Inc. 858,812
--------------------------------------
33,000 (1) MediaOne Group, Inc. 2,437,875
-------------------------------------- ------------
Total 4,716,187
-------------------------------------- ------------
HOTELS/RESORTS
--------------------------------------
25,000 Carnival Corp., Class A 1,025,000
--------------------------------------
12,000 Marriott International, Inc., Class A 456,750
-------------------------------------- ------------
Total 1,481,750
-------------------------------------- ------------
LEISURE PRODUCTS
--------------------------------------
14,000 Mattel, Inc. 370,125
-------------------------------------- ------------
MEDIA CONGLOMERATES
--------------------------------------
105,000 Disney (Walt) Co. 3,058,125
--------------------------------------
18,000 Seagram Co. Ltd. 934,874
--------------------------------------
65,000 Time Warner, Inc. 4,424,063
--------------------------------------
36,000 (1) Viacom, Inc., Class B 1,386,000
-------------------------------------- ------------
Total 9,803,062
-------------------------------------- ------------
RESTAURANTS
--------------------------------------
72,000 McDonald's Corp. 2,772,000
-------------------------------------- ------------
Total Consumer Services 19,143,124
-------------------------------------- ------------
ELECTRONIC TECHNOLOGY--7.8%
--------------------------------------
AEROSPACE
--------------------------------------
51,000 Boeing Co. 2,154,750
--------------------------------------
7,000 General Dynamics Corp. 460,250
--------------------------------------
36,000 Lockheed Martin Corp. 1,455,750
-------------------------------------- ------------
Total 4,070,750
-------------------------------------- ------------
COMPUTER SOFTWARE
--------------------------------------
17,000 (1) Novell, Inc. 399,500
--------------------------------------
12,000 (1) Unisys Corp. 455,250
-------------------------------------- ------------
Total 854,750
-------------------------------------- ------------
ELECTRONIC DATA PROCESSING
--------------------------------------
80,000 Compaq Computer Corp. 1,895,000
--------------------------------------
52,000 Hewlett-Packard Co. 4,904,250
-------------------------------------- ------------
Total 6,799,250
-------------------------------------- ------------
</TABLE>
REGIONS VALUE FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
---------- --------------------------------------- ------------
<C> <S> <C>
COMMON STOCKS--CONTINUED
--------------------------------------------------
ELECTRONIC TECHNOLOGY--CONTINUED
---------------------------------------
ELECTRICAL EQUIPMENT
---------------------------------------
24,000 Emerson Electric Co. $ 1,533,000
---------------------------------------
12,000 Honeywell, Inc. 1,135,500
---------------------------------------
8,000 Rockwell International Corp. 441,500
--------------------------------------- ------------
Total 3,110,000
--------------------------------------- ------------
SEMICONDUCTORS
---------------------------------------
18,000 (1) Applied Materials, Inc. 988,875
---------------------------------------
13,000 Micron Technology, Inc. 493,187
---------------------------------------
20,000 Texas Instruments, Inc. 2,187,500
--------------------------------------- ------------
Total 3,669,562
--------------------------------------- ------------
TELECOMMUNICATIONS EQUIPMENT
---------------------------------------
30,000 Motorola, Inc. 2,484,375
--------------------------------------- ------------
Total Electronic Technology 20,988,687
--------------------------------------- ------------
ENERGY--MINERALS--11.7%
---------------------------------------
INTEGRATED OIL COMPANIES
---------------------------------------
32,000 Atlantic Richfield Co. 2,678,000
---------------------------------------
15,000 Baker Hughes, Inc. 466,875
---------------------------------------
10,000 Burlington Resources, Inc. 429,375
---------------------------------------
35,000 Chevron Corp. 3,244,063
---------------------------------------
127,000 Exxon Corp. 10,144,125
---------------------------------------
40,000 Mobil Corp. 4,050,000
---------------------------------------
24,000 Phillips Petroleum Co. 1,258,500
---------------------------------------
113,000 Royal Dutch Petroleum Co., ADR 6,391,563
---------------------------------------
30,000 Texaco, Inc. 1,965,000
---------------------------------------
24,000 Unocal Corp. 954,000
--------------------------------------- ------------
Total Energy--Minerals 31,581,501
--------------------------------------- ------------
FINANCE--21.2%
---------------------------------------
DIVERSIFIED FINANCIAL SERVICES
---------------------------------------
117,000 Citigroup, Inc. 7,751,250
--------------------------------------- ------------
FINANCE COMPANIES
---------------------------------------
42,000 Associates First Capital Corp., Class A 1,722,000
---------------------------------------
56,000 Federal National Morgage Association 3,808,000
---------------------------------------
20,000 Household International, Inc. 867,500
--------------------------------------- ------------
Total 6,397,500
--------------------------------------- ------------
</TABLE>
REGIONS VALUE FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
---------- --------------------------------------- ------------
<C> <S> <C>
COMMON STOCKS--CONTINUED
--------------------------------------------------
FINANCE--CONTINUED
---------------------------------------
INSURANCE/MISCELLANEOUS
---------------------------------------
10,500 AON Corp. $ 451,500
---------------------------------------
12,000 Marsh & McLennan Co., Inc. 873,000
--------------------------------------- ------------
Total 1,324,500
--------------------------------------- ------------
INVESTMENT BANKERS/BROKERS/SERVICES
---------------------------------------
8,000 J.P. Morgan & Co., Inc. 1,114,500
---------------------------------------
16,000 Merrill Lynch & Co., Inc. 1,344,000
---------------------------------------
31,000 Morgan Stanley, Dean Witter & Co. 2,991,500
--------------------------------------- ------------
Total 5,450,000
--------------------------------------- ------------
MAJOR BANKS
---------------------------------------
15,000 BB&T Corp. 547,500
---------------------------------------
93,000 Bank of America Corp. 6,015,938
---------------------------------------
63,000 Bank One Corporation 3,563,437
---------------------------------------
40,000 Bank of New York Co., Inc. 1,430,000
---------------------------------------
46,000 Chase Manhattan Corp. 3,335,000
---------------------------------------
7,000 Comerica, Inc. 423,062
---------------------------------------
12,000 Fifth Third Bancorp 818,250
---------------------------------------
54,000 First Union Corp. 2,487,375
---------------------------------------
100,000 Fleet Financial Group, Inc. 4,112,500
---------------------------------------
20,000 KeyCorp 695,000
---------------------------------------
15,000 National City Corp. 992,812
---------------------------------------
5,000 Northern Trust Corp. 451,875
---------------------------------------
14,000 PNC Bank Corp. 801,500
---------------------------------------
12,000 State Street Corp. 915,000
---------------------------------------
25,000 SunTrust Banks, Inc. 1,687,500
---------------------------------------
18,000 Wachovia Corp. 1,588,500
--------------------------------------- ------------
Total 29,865,249
--------------------------------------- ------------
MULTI-LINE INSURANCE
---------------------------------------
40,000 Allstate Corp. 1,457,500
---------------------------------------
10,000 CIGNA Corp. 932,500
---------------------------------------
11,000 Hartford Financial Services Group, Inc. 695,750
--------------------------------------- ------------
Total 3,085,750
--------------------------------------- ------------
PROPERTY-CASUALTY INSURERS
---------------------------------------
24,000 Chubb Corp. 1,681,500
---------------------------------------
</TABLE>
REGIONS VALUE FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
---------- ------------------------------------- ------------
<C> <S> <C>
COMMON STOCKS--CONTINUED
------------------------------------------------
FINANCE--CONTINUED
-------------------------------------
PROPERTY-CASUALTY INSURERS--CONTINUED
-------------------------------------
3,500 Progressive Corp., OH $ 491,312
------------------------------------- ------------
Total 2,172,812
------------------------------------- ------------
SAVINGS & LOAN
-------------------------------------
30,000 Washington Mutual, Inc. 1,145,625
------------------------------------- ------------
Total Finance 57,192,686
------------------------------------- ------------
HEALTHCARE/DRUG--1.3%
-------------------------------------
HOSPITAL MANAGEMENT
-------------------------------------
45,000 Columbia/HCA Healthcare Corp. 1,060,312
------------------------------------- ------------
MAJOR PHARMACEUTICALS
-------------------------------------
24,000 Pharmacia & Upjohn, Inc. 1,330,500
------------------------------------- ------------
MANAGED CARE
-------------------------------------
7,000 Aetna, Inc. 635,688
-------------------------------------
8,000 United Healthcare Corp. 466,000
------------------------------------- ------------
Total 1,101,688
------------------------------------- ------------
Total Healthcare/Drug 3,492,500
------------------------------------- ------------
INDUSTRIAL SERVICES--0.9%
-------------------------------------
OILFIELD SERVICES/EQUIPMENT
-------------------------------------
20,000 Halliburton Co. 827,500
-------------------------------------
26,000 Schlumberger Ltd. 1,564,875
------------------------------------- ------------
Total Industrial Services 2,392,375
------------------------------------- ------------
LIFE INSURANCE--2.9%
-------------------------------------
LIFE INSURANCE
-------------------------------------
23,000 American General Corp. 1,661,750
-------------------------------------
80,000 Conseco, Inc. 2,445,000
-------------------------------------
40,000 Jefferson-Pilot Corp. 2,707,500
-------------------------------------
5,000 Lincoln National Corp. 508,750
-------------------------------------
6,000 Transamerica Corp. 440,250
------------------------------------- ------------
Total Life Insurance 7,763,250
------------------------------------- ------------
NON-ENERGY MINERALS--1.7%
-------------------------------------
ALUMINUM
-------------------------------------
60,000 Alcoa, Inc. 3,300,000
------------------------------------- ------------
FOREST PRODUCTS
-------------------------------------
9,000 Weyerhaeuser Co. 558,563
------------------------------------- ------------
</TABLE>
REGIONS VALUE FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
---------- ------------------------------------ ------------
<C> <S> <C>
COMMON STOCKS--CONTINUED
-----------------------------------------------
NON-ENERGY MINERALS--CONTINUED
------------------------------------
OTHER METALS/MINERALS
------------------------------------
16,000 Phelps Dodge Corp. $ 829,000
------------------------------------ ------------
Total Non-Energy Minerals 4,687,563
------------------------------------ ------------
PROCESS INDUSTRIES--5.3%
------------------------------------
CHEMICALS
------------------------------------
10,000 Air Products & Chemicals, Inc. 410,000
------------------------------------
10,000 Dow Chemical Co. 1,215,000
------------------------------------
57,000 Du Pont (E.I.) de Nemours & Co. 3,729,937
------------------------------------ ------------
Total 5,354,937
------------------------------------ ------------
DIVERSIFIED CHEMICALS
------------------------------------
45,000 Monsanto Co. 1,867,500
------------------------------------
8,000 PPG Industries, Inc. 485,500
------------------------------------ ------------
Total 2,353,000
------------------------------------ ------------
MULTI-SECTOR COMPANIES
------------------------------------
16,000 Raytheon Co., Class B 1,089,000
------------------------------------ ------------
PAPER
------------------------------------
5,000 Georgia-Pacific Corp. 432,188
------------------------------------
35,000 International Paper Co. 1,750,000
------------------------------------
90,000 Mead Corp. 3,363,750
------------------------------------ ------------
Total 5,545,938
------------------------------------ ------------
Total Process Industries 14,342,875
------------------------------------ ------------
PRODUCER MANUFACTURING--6.4%
------------------------------------
AUTO PARTS: O.E.M.
------------------------------------
10,000 Dana Corp. 516,250
------------------------------------
60,000 Genuine Parts Co. 2,021,250
------------------------------------
10,000 Goodyear Tire & Rubber Co. 596,875
------------------------------------
10,000 TRW, Inc. 500,625
------------------------------------ ------------
Total 3,635,000
------------------------------------ ------------
BUILDING MATERIALS
------------------------------------
25,000 Masco Corp. 714,062
------------------------------------ ------------
DIVERSIFIED MANUFACTURE
------------------------------------
29,000 Allied-Signal, Inc. 1,683,813
------------------------------------
43,000 Illinois Tool Works, Inc. 3,300,250
------------------------------------
20,000 Minnesota Mining & Manufacturing Co. 1,715,000
------------------------------------
7,000 Textron, Inc. 623,438
------------------------------------
</TABLE>
REGIONS VALUE FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
---------- ------------------------------------- ------------
<C> <S> <C>
COMMON STOCKS--CONTINUED
------------------------------------------------
PRODUCER MANUFACTURING--CONTINUED
-------------------------------------
DIVERSIFIED MANUFACTURE--CONTINUED
-------------------------------------
22,000 United Technologies Corp. $ 1,365,375
------------------------------------- ------------
Total 8,687,876
------------------------------------- ------------
INDUSTRIAL MACHINERY/COMPONENTS
-------------------------------------
17,000 Caterpillar, Inc. 932,875
-------------------------------------
10,000 Deere & Co. 380,625
-------------------------------------
47,000 Ingersoll-Rand Co. 2,993,312
------------------------------------- ------------
Total 4,306,812
------------------------------------- ------------
Total Producer Manufacturing 17,343,750
------------------------------------- ------------
RETAIL TRADE--4.5%
-------------------------------------
APPAREL
-------------------------------------
11,000 Limited, Inc. 537,625
------------------------------------- ------------
BUILDING SUPPLIES
-------------------------------------
18,000 Lowe's Co., Inc. 934,875
------------------------------------- ------------
COMPUTERS & ELECTRONICS
-------------------------------------
30,000 Circuit City Stores, Inc. 2,154,375
------------------------------------- ------------
DRUG STORES CHAINS
-------------------------------------
25,000 Rite Aid Corp. 625,000
------------------------------------- ------------
FOOD CHAINS
-------------------------------------
85,000 American Stores Co. 2,805,000
------------------------------------- ------------
GENERAL MERCHANDISE
-------------------------------------
10,000 (1) Costco Co., Inc. 725,000
-------------------------------------
23,000 (1) K Mart Corp. 353,625
-------------------------------------
17,000 Sears, Roebuck & Co. 812,813
------------------------------------- ------------
Total 1,891,438
------------------------------------- ------------
MAJOR DEPARTMENT STORES
-------------------------------------
10,000 (1) Federated Department Stores, Inc. 545,000
-------------------------------------
16,000 May Department Stores Co. 693,000
-------------------------------------
25,000 Nordstrom, Inc. 887,500
-------------------------------------
12,000 Penney (J.C.) Co., Inc. 620,250
------------------------------------- ------------
Total 2,745,750
------------------------------------- ------------
RETAIL/MISCELLANEOUS
-------------------------------------
7,000 (1) Kroger Co., Inc. 409,937
------------------------------------- ------------
Total Retail Trade 12,104,000
------------------------------------- ------------
</TABLE>
REGIONS VALUE FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
---------- ----------------------------- ------------
<C> <S> <C>
COMMON STOCKS--CONTINUED
----------------------------------------
TRANSPORTATION--2.4%
-----------------------------
AIR FREIGHT
-----------------------------
14,000 (1) FDX Corp. $ 770,875
----------------------------- ------------
AIRLINES
-----------------------------
26,000 (1) AMR Corp. 1,691,625
-----------------------------
7,000 Delta Air Lines, Inc. 401,625
----------------------------- ------------
Total 2,093,250
----------------------------- ------------
RAILROADS
-----------------------------
22,000 Burlington Northern Santa Fe 682,000
-----------------------------
10,000 CSX Corp. 469,375
-----------------------------
25,000 Norfolk Southern Corp. 818,750
-----------------------------
27,000 Union Pacific Corp. 1,540,688
----------------------------- ------------
Total 3,510,813
----------------------------- ------------
Total Transportation 6,374,938
----------------------------- ------------
UTILITIES--16.8%
-----------------------------
ELECTRIC UTILITIES: SOUTH
-----------------------------
13,000 Consolidated Edison Co. 631,312
-----------------------------
85,000 Duke Energy Corp. 5,126,563
-----------------------------
90,000 FPL Group, Inc. 5,236,875
-----------------------------
13,000 Peco Energy Co. 636,187
-----------------------------
20,000 P G & E Corp. 675,000
-----------------------------
33,000 Southern Co. 936,375
-----------------------------
15,000 Texas Utilities Co. 675,000
----------------------------- ------------
Total 13,917,312
----------------------------- ------------
MAJOR U.S. TELECOMMUNICATIONS
-----------------------------
13,000 Alltel Corp. 931,938
-----------------------------
164,000 AT&T Corp. 9,102,000
-----------------------------
83,000 Bell Atlantic Corp. 4,544,250
-----------------------------
103,000 BellSouth Corp. 4,860,313
-----------------------------
9,000 Frontier Corp. 473,625
-----------------------------
51,000 GTE Corp. 3,216,188
-----------------------------
25,000 Sprint Corp. 2,818,750
-----------------------------
20,000 (1) Sprint PCS Group 900,000
-----------------------------
27,000 U.S. West, Inc. 1,459,688
----------------------------- ------------
Total 28,306,752
----------------------------- ------------
</TABLE>
REGIONS VALUE FUND
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL
AMOUNT VALUE
---------- --------------------------------------------------- ------------
<C> <S> <C>
COMMON STOCKS--CONTINUED
--------------------------------------------------------------
UTILITIES--CONTINUED
---------------------------------------------------
NATURAL GAS
---------------------------------------------------
21,000 Coastal Corp. $ 809,813
---------------------------------------------------
15,000 Enron Corp. 1,070,625
---------------------------------------------------
20,000 Williams Cos., Inc. (The) 1,036,250
--------------------------------------------------- ------------
Total 2,916,688
--------------------------------------------------- ------------
Total Utilities 45,140,752
--------------------------------------------------- ------------
TOTAL COMMON STOCKS (IDENTIFIED COST $227,896,095) 261,811,313
--------------------------------------------------- ------------
(2)REPURCHASE AGREEMENT--2.7%
--------------------------------------------------------------
$7,110,827 GX Clarke & Co., 4.80%, dated 5/28/1999, due
6/1/1999 (AT AMORTIZED COST) 7,110,827
--------------------------------------------------- ------------
TOTAL INVESTMENTS (IDENTIFIED COST $235,006,922)(3) $268,922,140
--------------------------------------------------- ------------
</TABLE>
(1) Non-income producing security.
(2) The repurchase agreement is fully collateralized by U.S. Treasury
obligations based on market prices at the date of the portfolio.
(3) The cost of investments for federal tax purposes amounts to $235,006,922.
The net unrealized appreciation of investments on a federal tax basis
amounts to $33,915,218 which is comprised of $40,415,849 appreciation and
$6,500,631 depreciation at May 31, 1999.
Note: The categories of investments are shown as a percentage of net assets
($269,277,274) at May 31, 1999.
The following acronym is used throughout this portfolio:
ADR -- American Depositary Receipt
(See Notes which are an integral part of the Financial Statements)
REGIONS GROWTH FUND
PORTFOLIO OF INVESTMENTS
MAY 31, 1999 (UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
----------- ------------------------------- ------------
<C> <S> <C>
COMMON STOCKS--96.7%
-------------------------------------------
BANKING--1.7%
-------------------------------
79,000 U.S. Bancorp, Inc. $ 2,567,500
-------------------------------
181,000 Wells Fargo Co. 7,240,000
------------------------------- ------------
Total Banking 9,807,500
------------------------------- ------------
BASIC INDUSTRIES--1.1%
-------------------------------
CHEMICALS/METALS
-------------------------------
64,000 Du Pont (E.I.) de Nemours & Co. 4,188,000
-------------------------------
52,000 Monsanto Co. 2,158,000
------------------------------- ------------
Total Basic Industries 6,346,000
------------------------------- ------------
CAPITAL GOODS--7.1%
-------------------------------
EQUIPMENT--MACHINERY
-------------------------------
41,000 Corning, Inc. 2,239,625
-------------------------------
341,000 General Electric Co. 34,675,437
-------------------------------
44,000 Pitney Bowes, Inc. 2,805,000
------------------------------- ------------
Total Capital Goods 39,720,062
------------------------------- ------------
CONSUMER CYCLICAL--7.5%
-------------------------------
ENTERTAINMENT
-------------------------------
42,000 Mattel, Inc. 1,110,375
------------------------------- ------------
MERCHANDISE/MASS MERCHANDISING
-------------------------------
16,000 (1) Costco Co., Inc. 1,160,000
-------------------------------
53,000 Dayton-Hudson Corp. 3,339,000
-------------------------------
469,000 Wal-Mart Stores, Inc. 19,991,125
------------------------------- ------------
Total 24,490,125
------------------------------- ------------
MECHANDISE/SPECIALTY
-------------------------------
69,000 Gap (The), Inc. 4,316,813
-------------------------------
175,000 Home Depot, Inc. 9,953,125
-------------------------------
97,000 Walgreen Co. 2,255,250
------------------------------- ------------
Total 16,525,188
------------------------------- ------------
Total Consumer Cyclical 42,125,688
------------------------------- ------------
CONSUMER NON-CYCLICAL--7.5%
-------------------------------
TOBACCO/COSMETICS/HOUSEHOLD
-------------------------------
36,000 Avon Products, Inc. 1,779,750
-------------------------------
17,000 Clorox Co. 1,715,938
-------------------------------
31,000 Colgate-Palmolive Co. 3,096,125
-------------------------------
</TABLE>
REGIONS GROWTH FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
----------- -------------------------------------- ------------
<C> <S> <C>
COMMON STOCKS--CONTINUED
--------------------------------------------------
CONSUMER NON-CYCLICAL--CONTINUED
--------------------------------------
TOBACCO/COSMETICS/HOUSEHOLD--CONTINUED
--------------------------------------
131,000 Gillette Co. $ 6,681,000
--------------------------------------
67,000 Kimberly-Clark Corp. 3,932,063
--------------------------------------
208,000 Philip Morris Co., Inc. 8,021,000
--------------------------------------
138,000 Procter & Gamble Co. 12,885,750
--------------------------------------
60,714 Unilever N.V., ADR 3,965,383
-------------------------------------- ------------
Total Consumer Non-Cyclical 42,077,009
-------------------------------------- ------------
CONSUMER SERVICES--2.7%
--------------------------------------
COMPUTERS SERVICES
--------------------------------------
23,000 (1) Computer Sciences Corp. 1,487,813
--------------------------------------
75,000 Nortel Networks Corp. 5,625,000
-------------------------------------- ------------
Total 7,112,813
-------------------------------------- ------------
DATA PROCESSING
--------------------------------------
93,500 Automatic Data Processing, Inc. 3,851,031
-------------------------------------- ------------
WASTE MANAGEMENT
--------------------------------------
77,000 Waste Management, Inc. 4,071,375
-------------------------------------- ------------
Total Consumer Services 15,035,219
-------------------------------------- ------------
ENERGY--0.7%
--------------------------------------
OIL SERVICES
--------------------------------------
32,000 Halliburton Co. 1,324,000
--------------------------------------
45,000 Schlumberger Ltd. 2,708,438
-------------------------------------- ------------
Total Energy 4,032,438
-------------------------------------- ------------
FOOD & BEVERAGE--6.4%
--------------------------------------
58,000 Anheuser-Busch Co., Inc. 4,237,625
--------------------------------------
31,000 BestFoods 1,550,000
--------------------------------------
41,000 Campbell Soup Co. 1,809,125
--------------------------------------
249,000 Coca-Cola Co. 17,009,812
--------------------------------------
16,000 General Mills, Inc. 1,286,000
--------------------------------------
34,000 Heinz (H.J.) Co. 1,642,625
--------------------------------------
29,500 Kellogg Co. 1,023,281
--------------------------------------
147,000 PepsiCo, Inc. 5,264,437
--------------------------------------
96,000 Sara Lee Corp. 2,304,000
-------------------------------------- ------------
Total Food & Beverage 36,126,905
-------------------------------------- ------------
</TABLE>
REGIONS GROWTH FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
----------- --------------------------------------- ------------
<C> <S> <C>
COMMON STOCKS--CONTINUED
---------------------------------------------------
HEALTHCARE/DRUG--14.2%
---------------------------------------
161,000 American Home Products Corp. $ 9,277,625
---------------------------------------
220,000 Bristol-Myers Squibb Co. 15,097,500
---------------------------------------
121,000 Lilly (Eli) & Co. 8,643,937
---------------------------------------
265,000 Merck & Co., Inc. 17,887,500
---------------------------------------
145,000 Pfizer, Inc. 15,515,000
---------------------------------------
177,000 Schering Plough Corp. 7,976,063
---------------------------------------
88,000 Warner-Lambert Co. 5,456,000
--------------------------------------- ------------
Total Healthcare/Drug 79,853,625
--------------------------------------- ------------
HOSPITAL SUPPLIES--4.8%
---------------------------------------
162,000 Abbott Laboratories 7,320,375
---------------------------------------
161,000 Johnson & Johnson 14,912,625
---------------------------------------
62,000 Medtronic, Inc. 4,402,000
--------------------------------------- ------------
Total Hospital Supplies 26,635,000
--------------------------------------- ------------
INSURANCE/MISCELLANEOUS--4.5%
---------------------------------------
56,000 American Express Co. 6,786,500
---------------------------------------
136,000 American International Group, Inc. 15,546,500
---------------------------------------
42,000 Federal National Mortgage Association 2,856,000
--------------------------------------- ------------
Total Insurance/Miscellaneous 25,189,000
--------------------------------------- ------------
TECHNOLOGY--31.8%
---------------------------------------
124,000 (1) America Online, Inc. 14,802,500
---------------------------------------
18,000 (1) BMC Software, Inc. 889,875
---------------------------------------
169,000 (1) Cisco Systems, Inc. 18,421,000
---------------------------------------
39,200 Computer Associates International, Inc. 1,854,650
---------------------------------------
55,000 (1) Compuware Corp. 1,708,438
---------------------------------------
278,600 (1) Dell Computer Corp. 9,594,287
---------------------------------------
22,000 (1) Gateway 2000, Inc. 1,337,874
---------------------------------------
190,000 International Business Machines Corp. 22,099,375
---------------------------------------
350,400 Intel Corp. 18,943,500
---------------------------------------
282,000 Lucent Technologies, Inc. 16,038,750
---------------------------------------
528,000 (1) Microsoft Corp. 42,603,000
---------------------------------------
174,000 (1) Oracle Corp. 4,317,375
---------------------------------------
95,000 (1) Sun Microsystems, Inc. 5,676,250
---------------------------------------
54,000 (1) Tellabs, Inc. 3,159,000
---------------------------------------
30,000 Texas Instruments, Inc. 3,281,250
---------------------------------------
91,000 Tyco International Ltd. 7,951,125
---------------------------------------
</TABLE>
REGIONS GROWTH FUND
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL
AMOUNT VALUE
----------- --------------------------------------------------- ------------
<C> <S> <C>
COMMON STOCKS--CONTINUED
---------------------------------------------------------------
TECHNOLOGY--CONTINUED
---------------------------------------------------
35,000 United Technologies Corp. $ 2,172,188
---------------------------------------------------
68,000 Xerox Corp. 3,820,750
--------------------------------------------------- ------------
Total Technology 178,671,187
--------------------------------------------------- ------------
UTILITIES--6.4%
---------------------------------------------------
COMMUNICATIONS
---------------------------------------------------
25,000 (1) Airtouch Communications, Inc. 2,512,500
---------------------------------------------------
77,000 Ameritech Corp. 5,067,563
---------------------------------------------------
198,000 (1) MCI Worldcom, Inc. 17,102,250
---------------------------------------------------
216,000 SBC Communications, Inc. 11,043,000
--------------------------------------------------- ------------
Total Utilities 35,725,313
--------------------------------------------------- ------------
TRANSPORTATION--0.3%
---------------------------------------------------
45,000 Southwest Airlines Co. 1,442,812
--------------------------------------------------- ------------
TOTAL COMMON STOCKS (IDENTIFIED COST $380,900,240) 542,787,758
--------------------------------------------------- ------------
(2)REPURCHASE AGREEMENT--3.1%
---------------------------------------------------------------
$17,182,592 GX Clarke & Co., 4.80%, dated 5/28/1999, due
6/1/1999
(AT AMORTIZED COST) 17,182,592
--------------------------------------------------- ------------
TOTAL INVESTMENTS (IDENTIFIED COST $398,082,832)(3) $559,970,350
--------------------------------------------------- ------------
</TABLE>
(1) Non-income producing security.
(2) The repurchase agreement is fully collateralized by U.S. Treasury
obligations based on market prices at the date of the portfolio.
(3) The cost of investments for federal tax purposes amounts to $398,082,832.
The net unrealized appreciation of investments on a federal tax basis
amounts to $161,887,518 which is comprised of $165,055,832 appreciation and
$3,168,314 depreciation at May 31, 1999.
Note: The categories of investments are shown as a percentage of net assets
($561,047,219) at May 31, 1999.
The following acronym is used throughout this portfolio:
ADR -- American Depositary Receipt
(See Notes which are an integral part of the Financial Statements)
REGIONS AGGRESSIVE GROWTH FUND
PORTFOLIO OF INVESTMENTS
MAY 31, 1999 (UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
---------- ----------------------------------- -----------
<C> <S> <C>
COMMON STOCKS--91.4%
----------------------------------------------
CAPITAL GOODS--2.3%
-----------------------------------
AEROSPACE/DEFENSE
-----------------------------------
10,000 (1) Gulfstream Aerospace Corp. $ 617,500
----------------------------------- -----------
ELECTRICAL EQUIPMENT
-----------------------------------
8,000 (1) American Power Conversion Corp. 311,500
-----------------------------------
8,000 Symbol Technologies, Inc. 400,000
----------------------------------- -----------
Total 711,500
----------------------------------- -----------
Total Capital Goods 1,329,000
----------------------------------- -----------
COMMERCIAL SERVICES--7.5%
-----------------------------------
AIR FREIGHT
-----------------------------------
20,000 Airborne Freight Corp. 517,500
-----------------------------------
8,000 (1) FDX Corp. 440,500
----------------------------------- -----------
Total 958,000
----------------------------------- -----------
COMMERCIAL SERVICES/MISCELLANEOUS
-----------------------------------
3,000 Cintas Corp. 190,500
-----------------------------------
12,000 (1) Convergys Corp. 211,500
-----------------------------------
4,000 Investment Technology Group, Inc. 177,250
-----------------------------------
20,000 Viad Corp. 595,000
----------------------------------- -----------
Total 1,174,250
----------------------------------- -----------
COMPUTERS SYSTEMS
-----------------------------------
12,000 Comdisco, Inc. 292,500
-----------------------------------
12,000 (1) SunGuard Data Systems, Inc. 420,000
----------------------------------- -----------
Total 712,500
----------------------------------- -----------
DATA PROCESSING
-----------------------------------
16,000 (1) Concord EFS, Inc. 542,000
-----------------------------------
18,000 (1) Fiserv, Inc. 675,000
----------------------------------- -----------
Total 1,217,000
----------------------------------- -----------
WASTE MANAGEMENT
-----------------------------------
16,000 (1) Allied Waste Industries, Inc. 298,000
----------------------------------- -----------
Total Commercial Services 4,359,750
----------------------------------- -----------
CONSUMER CYCLICAL--14.1%
-----------------------------------
LEISURE TIME
-----------------------------------
10,000 International Game Technology 176,250
-----------------------------------
</TABLE>
REGIONS AGGRESSIVE GROWTH FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
---------- -------------------------------------------- -----------
<C> <S> <C>
COMMON STOCKS--CONTINUED
-------------------------------------------------------
CONSUMER CYCLICAL--CONTINUED
--------------------------------------------
LEISURE TIME--CONTINUED
--------------------------------------------
12,000 Harley Davidson, Inc. $ 612,750
-------------------------------------------- -----------
Total 789,000
-------------------------------------------- -----------
MERCHANDISE/MASS MERCHANDISING
--------------------------------------------
7,000 Ross Stores, Inc. 321,563
-------------------------------------------- -----------
MERCHANDISE/SPECIALTY
--------------------------------------------
5,000 (1) Abercrombie & Fitch Co., Class A 420,625
--------------------------------------------
20,000 (1) Bed Bath & Beyond, Inc. 683,750
--------------------------------------------
16,000 (1) Best Buy Co., Inc. 728,000
--------------------------------------------
8,000 Circuit City Stores, Inc. 574,500
--------------------------------------------
10,000 (1) Dollar Tree Stores, Inc. 336,250
--------------------------------------------
30,000 Family Dollar Stores, Inc. 669,375
--------------------------------------------
14,000 (1) Jones Apparel Group, Inc. 430,500
--------------------------------------------
48,000 (1) Office Depot, Inc. 1,002,000
--------------------------------------------
10,000 Tandy Corp. 825,000
--------------------------------------------
6,000 Tiffany & Co. 497,250
--------------------------------------------
24,000 (1) Zale Corp. 925,500
-------------------------------------------- -----------
Total 7,092,750
-------------------------------------------- -----------
Total Consumer Cyclical 8,203,313
-------------------------------------------- -----------
CONSUMER NON-CYCLICAL--2.1%
--------------------------------------------
TOBACCO/COSMETICS/HOUSEHOLD
--------------------------------------------
20,000 Dial Corp. 625,000
--------------------------------------------
16,000 Leggett and Platt, Inc. 422,000
--------------------------------------------
6,000 UST, Inc. 183,000
-------------------------------------------- -----------
Total Consumer Non-Cyclical 1,230,000
-------------------------------------------- -----------
CONSUMER SERVICES--6.2%
--------------------------------------------
BROADCAST MEDIA
--------------------------------------------
6,000 TCA Cable TV, Inc. 339,750
--------------------------------------------
80,000 (1) Valuevision International, Inc., Class A 1,230,000
-------------------------------------------- -----------
Total 1,569,750
-------------------------------------------- -----------
PUBLISHING--NEWSPAPERS
--------------------------------------------
1,200 Washington Post Co., Class B 667,800
-------------------------------------------- -----------
RESTAURANTS
--------------------------------------------
20,000 (1) Lone Star Steakhouse & Saloon 201,250
--------------------------------------------
16,000 (1) Outback Steakhouse, Inc. 574,000
--------------------------------------------
</TABLE>
REGIONS AGGRESSIVE GROWTH FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
---------- ----------------------------------- -----------
<C> <S> <C>
COMMON STOCKS--CONTINUED
----------------------------------------------
CONSUMER SERVICES--CONTINUED
-----------------------------------
RESTAURANTS--CONTINUED
-----------------------------------
16,000 (1) Starbucks Corp. $ 595,000
----------------------------------- -----------
Total Restaurants 1,370,250
----------------------------------- -----------
Total Consumer Services 3,607,800
----------------------------------- -----------
ELECTRONIC TECHNOLOGY--10.0%
-----------------------------------
COMPUTER SOFTWARE/SERVICES
-----------------------------------
24,000 (1) Cadence Design Systems, Inc. 309,000
-----------------------------------
12,000 (1) Citrix Systems, Inc. 593,250
-----------------------------------
8,000 (1) Electronic Arts, Inc. 391,500
-----------------------------------
18,000 (1) Informix Corp. 119,813
-----------------------------------
10,000 (1) Rational Software Corp. 338,125
-----------------------------------
6,000 (1) Synopsys, Inc. 266,250
----------------------------------- -----------
Total 2,017,938
----------------------------------- -----------
COMPUTERS--PERIPHERAL
-----------------------------------
3,000 (1) Lexmark Intl. Group, Class A 408,375
----------------------------------- -----------
SEMICONDUCTORS
-----------------------------------
16,000 (1) Altera Corp. 557,000
-----------------------------------
16,000 Linear Technology Corp. 848,000
-----------------------------------
16,000 (1) Maxim Integrated Products, Inc. 855,000
-----------------------------------
12,000 (1) Vitesse Semiconductor Corp. 659,250
-----------------------------------
10,000 (1) Xilinx, Inc. 444,375
----------------------------------- -----------
Total 3,363,625
----------------------------------- -----------
Total Electronic Technology 5,789,938
----------------------------------- -----------
ENERGY--2.3%
-----------------------------------
ELECTRIC UTILITY: MIDWEST
-----------------------------------
12,000 Alliant Energy Corp. 362,250
----------------------------------- -----------
OIL SERVICES
-----------------------------------
30,000 (1) Global Marine, Inc. 421,875
-----------------------------------
16,000 Weatherford International, Inc. 528,000
----------------------------------- -----------
Total 949,875
----------------------------------- -----------
Total Energy 1,312,125
----------------------------------- -----------
FINANCE--7.3%
-----------------------------------
INVESTMENT BANKERS/BROKERS/SERVICES
-----------------------------------
30,000 (1) E*Trade Group, Inc. 1,335,000
-----------------------------------
14,000 T. Rowe Price Associates 540,750
----------------------------------- -----------
Total 1,875,750
----------------------------------- -----------
</TABLE>
REGIONS AGGRESSIVE GROWTH FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
---------- ------------------------------------------ -----------
<C> <S> <C>
COMMON STOCKS--CONTINUED
-----------------------------------------------------
FINANCE--CONTINUED
------------------------------------------
MAJOR BANKS
------------------------------------------
16,000 First Tennessee National Corp. $ 659,000
------------------------------------------
20,000 North Fork Bancorp, Inc. 426,250
------------------------------------------
14,000 Old Kent Financial Corp. 629,125
------------------------------------------
6,000 Wilmington Trust Corp. 352,875
------------------------------------------ -----------
Total 2,067,250
------------------------------------------ -----------
SAVINGS & LOAN
------------------------------------------
24,000 Sovereign Bancorp, Inc. 316,500
------------------------------------------ -----------
Total Finance 4,259,500
------------------------------------------ -----------
HEALTHCARE/DRUG--16.9%
------------------------------------------
BIOTECHNOLOGY
------------------------------------------
8,000 (1) Amgen, Inc. 506,000
------------------------------------------
12,000 (1) Biogen, Inc. 1,309,500
------------------------------------------
22,000 (1) Chiron Corp. 464,750
------------------------------------------
28,000 (1) ICOS Corp. 1,226,750
------------------------------------------
22,000 (1) IDEC Pharmaceuticals Corp. 1,109,625
------------------------------------------
8,000 (1) Medimmune, Inc. 509,000
------------------------------------------ -----------
Total 5,125,625
------------------------------------------ -----------
HEALTHCARE--DIVERSIFIED
------------------------------------------
6,000 American Home Products Corp. 345,750
------------------------------------------
1 Warner-Lambert Co. 25
------------------------------------------ -----------
Total 345,775
------------------------------------------ -----------
MAJOR PHARMACEUTICALS
------------------------------------------
12,000 (1) Forest Labratories, Inc., Class A 571,500
------------------------------------------
6,000 (1) Human Genome Sciences, Inc. 253,500
------------------------------------------
36,000 ICN Pharmaceuticals, Inc. 1,183,500
------------------------------------------
20,000 Mylan Laboratories, Inc. 507,500
------------------------------------------
4,000 (1) Sepracor, Inc. 255,000
------------------------------------------ -----------
Total 2,771,000
------------------------------------------ -----------
HOSPITAL MANAGEMENT
------------------------------------------
10,000 (1) Health Management Association, Class A 130,000
------------------------------------------ -----------
MEDICAL PRODUCTS & SUPPLIES
------------------------------------------
18,000 Bergen Brunswig Corp., Class A 396,000
------------------------------------------
12,000 Stryker Corp. 714,000
------------------------------------------ -----------
Total 1,110,000
------------------------------------------ -----------
</TABLE>
REGIONS AGGRESSIVE GROWTH FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
---------- --------------------------------------- -----------
<C> <S> <C>
COMMON STOCKS--CONTINUED
--------------------------------------------------
HEALTHCARE/DRUG--CONTINUED
---------------------------------------
SPECIALIZED SERVICES
---------------------------------------
8,000 (1) Quintiles Transnational Corp. $ 325,000
--------------------------------------- -----------
Total Healthcare/Drug 9,807,400
--------------------------------------- -----------
LIFE INSURANCE--3.5%
---------------------------------------
LIFE INSURANCE
---------------------------------------
32,000 Aflac, Inc. 1,632,000
---------------------------------------
12,000 Torchmark Corp. 400,500
--------------------------------------- -----------
Total Life Insurance 2,032,500
--------------------------------------- -----------
METALS/MINERALS--0.6%
---------------------------------------
GOLD EXPLORATION/PRODUCTION
---------------------------------------
20,000 Barrick Gold Corp. 345,000
--------------------------------------- -----------
PRODUCER MANUFACTURING--2.6%
---------------------------------------
AUTO PARTS: O.E.M.
---------------------------------------
10,000 Federal-Mogul Corp. 461,250
--------------------------------------- -----------
BUILDING MATERIALS
---------------------------------------
8,000 (1) American Standard Cos. 370,000
---------------------------------------
12,000 Vulcan Materials Co. 542,250
--------------------------------------- -----------
Total 912,250
--------------------------------------- -----------
MANUFACTURE--DIVERSIFIED
---------------------------------------
4,000 Hillenbrand Industries, Inc. 167,750
--------------------------------------- -----------
Total Producer Manufacturing 1,541,250
--------------------------------------- -----------
TRANSPORTATION--3.3%
---------------------------------------
AIRLINES
---------------------------------------
12,000 (1) AMR Corp. 780,750
---------------------------------------
20,000 (1) Atlantic Coast Airlines Holdings 350,000
---------------------------------------
10,000 Comair Holdings, Inc. 189,375
---------------------------------------
16,000 (1) Continental Airlines, Inc., Class B 628,000
--------------------------------------- -----------
Total Transportation 1,948,125
--------------------------------------- -----------
UTILITIES--12.7%
---------------------------------------
COMMUNICATIONS
---------------------------------------
20,000 (1) ADC Telecommunications, Inc. 977,500
---------------------------------------
12,000 AT&T Corp. 666,000
---------------------------------------
8,000 CenturyTel, Inc. 306,500
---------------------------------------
16,000 Cincinnati Bell, Inc. 387,000
---------------------------------------
15,000 (1) Comverse Technology, Inc. 1,013,438
---------------------------------------
30,000 (1) Qualcomm, Inc. 2,917,500
---------------------------------------
</TABLE>
REGIONS AGGRESSIVE GROWTH FUND
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES OR
PRINCIPAL
AMOUNT VALUE
---------- ----------------------------------------------------- -----------
<C> <S> <C>
COMMON STOCKS--CONTINUED
----------------------------------------------------------------
UTILITIES--CONTINUED
-----------------------------------------------------
COMMUNICATIONS--CONTINUED
-----------------------------------------------------
10,000 (1) Qwest Communications International, Inc. $ 424,375
----------------------------------------------------- -----------
Total 6,692,313
----------------------------------------------------- -----------
ELECTRICAL
-----------------------------------------------------
14,000 Ipalco Enterprises, Inc. 345,625
-----------------------------------------------------
16,000 LG&E Energy Corp. 365,000
----------------------------------------------------- -----------
Total 710,625
----------------------------------------------------- -----------
Total Utilities 7,402,938
----------------------------------------------------- -----------
TOTAL COMMON STOCKS (IDENTIFIED COST $49,603,603) 53,168,639
----------------------------------------------------- -----------
(2)REPURCHASE AGREEMENT--8.1%
----------------------------------------------------------------
$4,718,799 GX Clarke & Co., 4.80%, dated 5/28/1999, due 6/1/1999
(AT AMORTIZED COST) 4,718,799
----------------------------------------------------- -----------
TOTAL INVESTMENTS (IDENTIFIED COST $54,322,402)(3) $57,887,438
----------------------------------------------------- -----------
</TABLE>
(1) Non-income producing security.
(2) The repurchase agreements is fully collateralized by U.S. Treasury
obligations based on market prices at the date of the portfolio.
(3) The cost of investments for federal tax purposes amounts to $54,322,402. The
net unrealized appreciation of investments on a federal tax basis amounts to
$3,565,036 which is comprised of $5,748,243 appreciation and $2,183,207
depreciation at May 31, 1999.
Note: The categories of investments are shown as a percentage of net assets
($58,177,534) at May 31, 1999.
(See Notes which are an integral part of the Financial Statements)
REGIONS FUNDS
STATEMENTS OF ASSETS AND LIABILITIES
MAY 31, 1999 (UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
TREASURY MONEY LIMITED MATURITY FIXED
MARKET GOVERNMENT INCOME BALANCED
FUND FUND FUND FUND
<S> <C> <C> <C> <C>
- ---------------------------------------------------------------------------------------
ASSETS:
Investments in
securities, at value $592,177,975 $111,953,017 $271,540,653 $156,302,326
Cash -- -- -- 336,875
Income receivable 136,394 1,457,030 3,800,489 1,025,629
Receivable for shares
sold -- 30,608 -- --
Deferred expenses -- 1,339 -- 2,506
- ---------------------------------------------------------------------------------------
Total assets 592,314,369 113,441,994 275,341,142 157,667,336
- ---------------------------------------------------------------------------------------
LIABILITIES:
Payable for investments
purchased -- 2,988,712 -- --
Income distribution
payable 2,018,596 417,472 1,181,497 --
Payable to Bank 101,538 42,357 137,361 --
Accrued expenses 125,305 36,596 156,500 153,892
- ---------------------------------------------------------------------------------------
Total liabilities 2,245,439 3,485,137 1,475,358 153,892
- ---------------------------------------------------------------------------------------
NET ASSETS CONSISTS OF:
Paid in capital $590,068,930 $110,272,808 $278,319,148 $127,928,893
Net unrealized
appreciation
(depreciation) of
investments -- (397,947) (2,361,843) 29,405,318
Accumulated net realized
gain (loss) on
investments -- 41,066 (2,094,278) (171,649)
Undistributed net
investment income -- 40,930 2,757 350,882
- ---------------------------------------------------------------------------------------
TOTAL NET ASSETS $590,068,930 $109,956,857 $273,865,784 $157,513,444
- ---------------------------------------------------------------------------------------
NET ASSET VALUE,
OFFERING PRICE PER
SHARE:(1)
(net assets / shares
outstanding)
Trust Shares $1.00 $9.93 $10.27 $15.29
Investment Shares $1.00 $9.93 $10.27 $15.29
- ---------------------------------------------------------------------------------------
REDEMPTION PROCEEDS PER
SHARE:(1)
Trust Shares $1.00 $9.93 $10.27 $15.29
Investment Shares $1.00 $9.63(2) $9.96(2) $14.83(2)
- ---------------------------------------------------------------------------------------
NET ASSETS:
Trust Shares $478,979,938 $ 66,263,002 $224,518,304 $ 11,161,825
Investment Shares $111,088,992 $ 43,693,855 $ 49,347,480 $146,351,619
- ---------------------------------------------------------------------------------------
SHARES OUTSTANDING:
Trust Shares 478,979,938 6,674,332 21,853,132 730,019
Investment Shares 111,088,992 4,401,193 4,803,263 9,572,963
- ---------------------------------------------------------------------------------------
Investments, at
identified cost $592,177,975 $112,350,964 $273,902,496 $126,897,008
- ---------------------------------------------------------------------------------------
Investments, at tax cost $592,177,975 $112,350,964 $273,902,496 $126,897,008
- ---------------------------------------------------------------------------------------
</TABLE>
(1) See "What Shares Cost" in the Prospectus.
(2) Computation of Redemption Proceeds: 97/100 of net asset value.
(See Notes which are an integral part of the Financial Statements)
REGIONS FUNDS
STATEMENTS OF ASSETS AND LIABILITIES
MAY 31, 1999 (UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
AGGRESSIVE
VALUE GROWTH GROWTH
FUND FUND FUND
- -------------------------------------------------------------------------------
<S> <C> <C> <C>
ASSETS:
Investments in securities, at
value $268,922,140 $559,970,350 $57,887,438
Cash -- 687,245 36,523
Income receivable 716,034 824,681 16,702
Receivable for investments sold -- -- 647,953
Receivable for shares sold -- -- 20,536
Deferred expenses 2,116 -- --
- -------------------------------------------------------------------------------
Total assets 269,640,290 561,482,276 58,609,152
- -------------------------------------------------------------------------------
LIABILITIES:
Payable for investments
purchased -- -- 382,125
Payable for shares redeemed -- -- 5,267
Payable to Bank 131,000 -- --
Accrued expenses 232,016 435,057 44,226
- -------------------------------------------------------------------------------
Total liabilities 363,016 435,057 431,618
- -------------------------------------------------------------------------------
NET ASSETS CONSISTS OF:
Paid in capital $222,158,938 $391,574,925 $54,671,282
Net unrealized appreciation of
investments 33,915,218 161,887,518 3,565,036
Accumulated net realized gain
(loss) on investments 12,869,827 7,381,998 (5,762)
Undistributed net investment
income (Accumulated net
operating loss) 333,291 202,778 (53,022)
- -------------------------------------------------------------------------------
TOTAL NET ASSETS $269,277,274 $561,047,219 $58,177,534
- -------------------------------------------------------------------------------
NET ASSET VALUE, OFFERING PRICE
PER SHARE:(1)
(net assets / shares
outstanding) $10.72
Trust Shares $17.29 $20.67 --
Investment Shares $17.28 $20.66 --
- -------------------------------------------------------------------------------
REDEMPTION PROCEEDS PER
SHARE:(1) $10.40(2)
Trust Shares $17.29 $20.67 --
Investment Shares $16.76(2) $20.04(2) --
- -------------------------------------------------------------------------------
NET ASSETS: $58,177,534
Trust Shares $198,461,688 $311,580,045 --
Investment Shares 70,815,586 $249,467,174 --
- -------------------------------------------------------------------------------
SHARES OUTSTANDING: 5,428,300
Trust Shares 11,480,275 15,071,002 --
Investment Shares 4,098,712 12,072,379 --
- -------------------------------------------------------------------------------
Investments, at identified cost $235,006,922 $398,082,832 $54,322,402
- -------------------------------------------------------------------------------
Investments, at tax cost $235,006,922 $398,082,832 $54,322,402
- -------------------------------------------------------------------------------
</TABLE>
(1) See "What Shares Cost" in the Prospectus.
(2) Computation of Redemption Proceeds: 97/100 of net asset value.
(See Notes which are an integral part of the Financial Statements)
REGIONS FUNDS
STATEMENTS OF OPERATIONS
MAY 31, 1999 (UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
TREASURY LIMITED MATURITY FIXED
MONEY MARKET GOVERNMENT INCOME BALANCED
FUND FUND FUND FUND
- ------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
INVESTMENT INCOME:
Interest $13,319,668 $ 2,633,288 $ 6,951,952 $1,933,172
Dividends -- -- -- 419,374
- -----------------------------------------------------------------------------------
Total income 13,319,668 2,633,288 6,951,952 2,352,546
- -----------------------------------------------------------------------------------
EXPENSES:
Investment advisory fee 1,516,085 337,814 898,161 556,163
Administrative personnel
and services fee 290,548 46,201 114,605 66,529
Custodian fees 38,846 10,898 24,196 15,151
Transfer and dividend
disbursing agent fees and
expenses 94,698 30,644 38,568 47,353
Directors'/Trustees' fees 3,791 2,420 2,909 2,435
Auditing fees 8,745 8,811 7,746 7,102
Legal fees 2,457 2,780 3,067 3,061
Portfolio accounting fees 56,511 28,813 42,336 37,755
Distribution services fee--
Investment Shares 208,186 -- -- --
Shareholder services fees--
Investment Shares -- 45,952 43,194 160,307
Share registration costs 49,091 10,901 18,532 18,355
Printing and postage 8,956 6,834 7,560 9,726
Insurance premiums 2,233 2,159 2,446 1,417
Miscellaneous 3,746 1,869 3,425 5,292
- -----------------------------------------------------------------------------------
Total expenses 2,283,893 536,096 1,206,745 930,646
WAIVERS:
Waiver of investment
advisory fee (758,043) (81,339) (253,026) (29,509)
Waiver of distribution
services fee (66,157) -- -- --
- -----------------------------------------------------------------------------------
Total waivers (824,200) (81,339) (253,026) (29,509)
- -----------------------------------------------------------------------------------
Net expenses 1,459,693 454,757 953,719 901,137
- -----------------------------------------------------------------------------------
Net investment income 11,859,975 2,178,531 5,998,233 1,451,409
- -----------------------------------------------------------------------------------
REALIZED AND UNREALIZED GAIN (LOSS)
ON INVESTMENTS:
Net realized gain (loss) on
investments -- 41,433 220,280 (170,878)
Net change in unrealized
appreciation
(depreciation) of
investments -- (1,370,938) (8,443,196) 3,537,716
- -----------------------------------------------------------------------------------
Net realized and
unrealized gain (loss)
on investments -- (1,329,505) (8,222,916) 3,366,838
- -----------------------------------------------------------------------------------
Change in net assets
resulting from
operations $11,859,975 $ 849,026 $(2,224,683) $4,818,247
- -----------------------------------------------------------------------------------
</TABLE>
(See Notes which are an integral part of the Financial Statements)
REGIONS FUNDS
STATEMENT OF OPERATIONS
MAY 31, 1999 (UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
AGGRESSIVE
VALUE GROWTH GROWTH
FUND FUND FUND(1)
- ----------------------------------------------------------------------------
<S> <C> <C> <C> <C>
INVESTMENT INCOME:
Interest $ 178,553 $ 428,551 $ 38,651
Dividends 2,247,077 2,300,916 45,457
- ----------------------------------------------------------------------------
Total income 2,425,630 2,729,467 84,108
- ----------------------------------------------------------------------------
EXPENSES:
Investment advisory fee 904,788 1,905,819 85,960
Administrative personnel and
services fee 108,217 227,780 10,963
Custodian fees 23,195 35,571 2,817
Transfer and dividend disbursing
agent fees and expenses 45,290 68,112 5,108
Directors'/Trustees' fees 3,167 3,814 888
Auditing fees 8,033 9,089 3,591
Legal fees 3,127 2,940 711
Portfolio accounting fees 37,683 41,429 8,360
Shareholder services fees--
Investment Shares 69,387 244,756 --
Share registration costs 27,926 28,356 13,283
Printing and postage 7,849 7,061 2,961
Insurance premiums 2,366 2,791 711
Miscellaneous 5,725 2,612 1,777
- ----------------------------------------------------------------------------
Total expenses 1,246,753 2,580,130 137,130
WAIVERS:
Waiver of investment advisory fee (47,857) (102,282) --
- ----------------------------------------------------------------------------
Total waivers (47,857) (102,282) --
- ----------------------------------------------------------------------------
Net expenses 1,198,896 2,477,848 137,130
- ----------------------------------------------------------------------------
Net investment income (Net
operating loss) 1,226,734 251,619 (53,022)
- ----------------------------------------------------------------------------
REALIZED AND UNREALIZED GAIN (LOSS) ON
INVESTMENTS:
Net realized gain (loss) on
investments 12,869,405 7,551,739 (5,762)
Net change in unrealized
appreciation of investments 2,494,491 25,829,356 3,565,036
- ----------------------------------------------------------------------------
Net realized and unrealized gain
on investments 15,363,896 33,381,095 3,559,274
- ----------------------------------------------------------------------------
Change in net assets resulting
from operations $16,590,630 $33,632,714 $3,506,252
- ----------------------------------------------------------------------------
</TABLE>
(1) Reflects operations for the period from March 15, 1999 (date of initial
public investment) to May 31, 1999.
(See Notes which are an integral part of the Financial Statements)
REGIONS FUNDS
STATEMENTS OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
LIMITED MATURITY
TREASURY MONEY MARKET FUND GOVERNMENT FUND FIXED INCOME FUND
---------------------------- -------------------------- ---------------------------
SIX MONTHS SIX MONTHS SIX MONTHS
ENDED YEAR ENDED ENDED YEAR ENDED ENDED YEAR ENDED
(UNAUDITED) NOVEMBER 30, (UNAUDITED) NOVEMBER 30, (UNAUDITED) NOVEMBER 30,
MAY 31, 1999 1998 MAY 31, 1999 1998 MAY 31, 1999 1998
- ----------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
INCREASE (DECREASE) IN
NET ASSETS:
OPERATIONS--
Net investment income $ 11,859,975 $ 13,740,357 $ 2,178,531 $ 4,094,604 $ 5,998,233 $ 11,255,571
Net realized gain on
investments -- -- 41,433 422,729 220,280 1,376,624
Net change in unrealized
appreciation
(depreciation) of
investments -- -- (1,370,938) 666,940 (8,443,196) 3,374,177
- ----------------------------------------------------------------------------------------------------------------
Change in net assets
resulting from
operations 11,859,975 13,740,357 849,026 5,184,273 (2,224,683) 16,006,372
- ----------------------------------------------------------------------------------------------------------------
DISTRIBUTIONS TO
SHAREHOLDERS--
Distributions from net investment income:
Trust Shares (9,929,512) (11,324,148) (1,377,254) (1,381,758) (5,164,564) (5,320,193)
Investment Shares (1,930,463) (2,416,209) (801,277) (2,690,862) (833,669) (5,936,405)
Distributions from net
realized gain on
investment
transactions:
Trust Shares -- -- (52,939) -- -- --
Investment Shares -- -- (32,462) -- -- --
- ----------------------------------------------------------------------------------------------------------------
Change in net assets
resulting from
distributions to
shareholders (11,859,975) (13,740,357) (2,263,932) (4,072,620) (5,998,233) (11,256,598)
- ----------------------------------------------------------------------------------------------------------------
SHARE TRANSACTIONS--
Proceeds from sales of
shares 675,258,450 1,114,417,737 32,288,209 93,303,815 97,757,483 310,752,824
Net asset value of
shares issued to
shareholders in payment
of dividends declared 2,087,050 3,841,391 583,606 1,329,677 353,682 631,337
Cost of shares redeemed (701,541,546) (715,989,367) (10,583,914) (86,282,554) (33,365,632) (282,854,601)
- ----------------------------------------------------------------------------------------------------------------
Change in net assets
resulting from share
transactions (24,196,046) 402,269,761 22,287,901 8,350,938 64,745,533 28,529,560
- ----------------------------------------------------------------------------------------------------------------
Change in net assets (24,196,046) 402,269,761 20,872,995 9,462,591 56,522,617 33,279,334
NET ASSETS:
Beginning of period 614,264,976 211,995,215 89,083,862 79,621,271 217,343,167 184,063,833
- ----------------------------------------------------------------------------------------------------------------
End of period $ 590,068,930 $ 614,264,976 $109,956,857 $ 89,083,862 $273,865,784 $ 217,343,167
- ----------------------------------------------------------------------------------------------------------------
Undistributed net
investment income
included in net assets
at end of period -- -- $ 40,930 $ 40,930 $ 2,757 $ 2,757
- ----------------------------------------------------------------------------------------------------------------
Net gain as computed for
federal tax purposes -- -- $ 41,433 $ 432,001 $ 220,280 $ 1,376,624
- ----------------------------------------------------------------------------------------------------------------
</TABLE>
(See Notes which are an integral part of the Financial Statements)
REGIONS FUNDS
STATEMENTS OF CHANGES IN NET ASSETS
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
AGGRESSIVE
GROWTH
BALANCED FUND VALUE FUND GROWTH FUND FUND
-------------------------- -------------------------- -------------------------- -----------
PERIOD
SIX MONTHS SIX MONTHS SIX MONTHS ENDED
ENDED YEAR ENDED ENDED YEAR ENDED ENDED YEAR ENDED (UNAUDITED)
(UNAUDITED) NOVEMBER 30, (UNAUDITED) NOVEMBER 30, (UNAUDITED) NOVEMBER 30, MAY 31,
MAY 31, 1999 1998 MAY 31, 1999 1998 MAY 31, 1999 1998 1999(1)
- ---------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
INCREASE (DECREASE) IN
NET ASSETS:
OPERATIONS--
Net investment income
(Net operating loss) $ 1,451,409 $ 2,473,387 $ 1,226,734 $ 2,321,448 $ 251,619 $ 543,522 $ (53,022)
Net realized gain
(loss) on investments (170,878) 3,927,012 12,869,405 14,577,823 7,551,739 26,736,007 (5,762)
Net change in
unrealized
appreciation of
investments 3,537,716 9,769,350 2,494,491 1,792,241 25,829,356 68,542,924 3,565,036
- ------------------------------------------------------------------------------------------------------------------------
Change in net assets
resulting from
operations 4,818,247 16,169,749 16,590,630 18,691,512 33,632,714 95,822,453 3,506,252
- ------------------------------------------------------------------------------------------------------------------------
DISTRIBUTIONS TO
SHAREHOLDERS--
Distributions from net investment income:
Trust Shares (121,165) (121,848) (921,202) (1,022,894) (61,131) (217,639) --
Investment Shares (1,241,136) (2,404,098) (229,670) (1,340,616) -- (421,625) --
Distributions from net
realized gain on
investment
transactions:
Trust Shares (338,857) -- (11,158,212) -- (16,839,091) -- --
Investment Shares (3,588,985) (2,449,878) (3,419,594) (3,980,849) (9,976,698) (29,158,060) --
- ------------------------------------------------------------------------------------------------------------------------
Change in net assets
resulting from dis-
tributions to
shareholders (5,290,143) (4,975,824) (15,728,678) (6,344,359) (26,876,920) (29,797,324) --
- ------------------------------------------------------------------------------------------------------------------------
SHARE TRANSACTIONS--
Proceeds from sales of
shares 43,234,866 47,945,804 81,693,655 236,035,007 209,764,847 328,001,520 11,399,880
Proceeds from shares
issued in connection
with the tax-free
transfer of assets from
the Common Trust Fund -- -- -- -- -- -- 48,506,886(2)
Net asset value of
shares issued to
shareholders in
payment of dividends
declared 4,618,996 4,425,146 2,906,644 875,469 9,016,741 7,454,900 --
Cost of shares redeemed (12,537,716) (23,968,895) (21,989,428) (195,984,467) (52,024,809) (288,953,371) (5,235,584)
- ------------------------------------------------------------------------------------------------------------------------
Change in net assets
resulting from share
transactions 35,316,146 28,402,055 62,610,871 40,926,009 166,756,779 46,503,049 54,671,182
- ------------------------------------------------------------------------------------------------------------------------
Change in net assets 34,844,250 39,595,980 63,472,823 53,273,162 173,512,573 112,528,178 58,177,434
NET ASSETS:
Beginning of period 122,669,194 83,073,214 205,804,451 152,531,289 387,534,646 275,006,468 100
- ------------------------------------------------------------------------------------------------------------------------
End of period $157,513,444 $122,669,194 $269,277,274 $205,804,451 $561,047,219 $387,534,646 $58,177,534
- ------------------------------------------------------------------------------------------------------------------------
Undistributed net
investment income
included in net
assets at end of
period $ 350,882 $ 261,774 $ 333,291 $ 257,429 $ 202,778 $ 12,290 --
- ------------------------------------------------------------------------------------------------------------------------
Net gain (loss) as
computed for federal
tax purposes $ (170,878) $ 3,927,012 $ 12,869,405 $ 14,577,823 $ 7,551,739 $ 26,815,920 $ (5,762)
- ------------------------------------------------------------------------------------------------------------------------
</TABLE>
(1) Reflects operations for the period from March 15, 1999 (date of initial
public investment) to May 31, 1999.
(2) Includes $5,305,623 of unrealized appreciation, at March 15, 1999 related
to the tax-free transfer of assets from the Common Trust Fund.
(See Notes which are an integral part of the Financial Statements)
REGIONS FUNDS--FINANCIAL HIGHLIGHTS
- -------------------------------------------------------------------------------
FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD.
<TABLE>
<CAPTION>
NET REALIZED DISTRIBUTIONS
AND FROM NET
NET ASSET UNREALIZED DISTRIBUTIONS REALIZED GAIN DISTRIBUTIONS
VALUE, NET GAIN (LOSS) TOTAL FROM FROM NET ON IN EXCESS OF NET
YEAR ENDED BEGINNING INVESTMENT ON INVESTMENT INVESTMENT INVESTMENT INVESTMENT
NOVEMBER 30, OF PERIOD INCOME INVESTMENTS OPERATIONS INCOME TRANSACTIONS INCOME
- ---------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
TREASURY MONEY MARKET FUND--TRUST SHARES
1994 $ 1.00 0.04 -- 0.04 (0.04) -- --
1995 $ 1.00 0.05 -- 0.05 (0.05) -- --
1996 $ 1.00 0.05 -- 0.05 (0.05) -- --
1997 $ 1.00 0.05 -- 0.05 (0.05) -- --
1998 $ 1.00 0.05 -- 0.05 (0.05) -- --
1999(1) $ 1.00 0.02 -- 0.02 (0.02) -- --
TREASURY MONEY MARKET FUND--INVESTMENT SHARES
1994 $ 1.00 0.03 -- 0.03 (0.03) -- --
1995 $ 1.00 0.04 -- 0.04 (0.04) -- --
1996 $ 1.00 0.04 -- 0.04 (0.04) -- --
1997 $ 1.00 0.04 -- 0.04 (0.04) -- --
1998 $ 1.00 0.04 -- 0.04 (0.04) -- --
1999(1) $ 1.00 0.02 -- 0.02 (0.02) -- --
LIMITED MATURITY GOVERNMENT FUND--TRUST SHARES
1998(2) $ 9.96 0.25 0.11 0.36 (0.25) -- --
1999(1) $10.07 0.23 (0.13) 0.10 (0.23) (0.01) --
LIMITED MATURITY GOVERNMENT FUND--INVESTMENT SHARES
1994(3) $10.00 0.42 (0.40) 0.02 (0.42) -- --
1995 $ 9.60 0.51 0.44 0.95 (0.51) -- --
1996 $10.04 0.50 (0.08) 0.42 (0.50) -- --
1997 $ 9.96 0.49 (0.02) 0.47 (0.49) -- --
1998 $ 9.94 0.46 0.13 0.59 (0.46) -- --
1999(1) $10.07 0.22 (0.13) 0.09 (0.22) (0.01) --
FIXED INCOME FUND--TRUST SHARES
1992(4) $ 9.90 0.38 0.37 0.75 (0.38) -- --
1993 $10.27 0.51 0.50 1.01 (0.51) (0.10) --
1994 $10.67 0.54 (1.01) (0.47) (0.53) (0.20) (0.01)(6)
1995(5) $ 9.46 0.09 0.11 0.20 (0.09) -- --
1998(2) $10.39 0.28 0.22 0.50 (0.28) -- --
1999(1) $10.61 0.26 (0.34) (0.08) (0.26) -- --
FIXED INCOME FUND--INVESTMENT SHARES
1994 $10.67 0.51 (1.01) (0.50) (0.50) (0.20) (0.01)(6)
1995 $ 9.46 0.52 0.90 1.42 (0.54) -- --
1996 $10.34 0.54 0.02 0.56 (0.54) -- --
1997 $10.36 0.58 0.02 0.60 (0.59) -- --
1998 $10.37 0.53 0.24 0.77 (0.53) -- --
1999(1) $10.61 0.25 (0.34) (0.09) (0.25) -- --
</TABLE>
(1) For the six months ended May 31, 1999 (unaudited).
(2) Reflects operations for the period from May 20, 1998 (date of initial public
investment) to November 30, 1998.
(3) Reflects operations for the period from December 12, 1993 (date of initial
public investment) to November 30, 1994.
(4) Reflects operations for the period from April 20, 1992 (date of initial
public investment) to November 30, 1992.
(5) Reflects operations for the two month period ended January 31, 1995. Prior
to February 1, 1995, the Fund offered two classes of shares: Investment
Shares and Trust Shares. On February 1, 1995, the Fund exchanged all
outstanding Trust Shares for Investment Shares and no longer offered Trust
Shares. The Fund resumed offering Trust Shares as of May 20, 1998.
(6) Distributions are determined in accordance with income tax regulations which
may differ from generally accepted accounting principles. These
distributions did not represent a return of capital for federal income tax
purposes.
<TABLE>
<CAPTION>
RATIOS TO AVERAGE NET ASSETS
---------------------------------------------
NET
NET ASSET INVESTMENT
VALUE, NET EXPENSES INCOME NET ASSETS,
TOTAL END TOTAL INVESTMENT (AFTER (AFTER END OF PERIOD PORTFOLIO
DISTRIBUTIONS OF PERIOD RETURN(7) EXPENSES(8) INCOME(8) WAIVERS) WAIVERS) (000 OMITTED) TURNOVER
- ----------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
(0.04) $ 1.00 3.59% 0.82% 2.99% 0.32% 3.49% $ 91,008 --
(0.05) $ 1.00 5.48% 0.83% 4.85% 0.33% 5.35% $109,368 --
(0.05) $ 1.00 4.83% 0.81% 4.42% 0.52% 4.71% $101,786 --
(0.05) $ 1.00 4.81% 0.77% 4.46% 0.52% 4.71% $166,035 --
(0.05) $ 1.00 4.71% 0.72% 4.32% 0.47% 4.57% $524,592 --
(0.02) $ 1.00 2.00% 0.69%(9) 3.70%(9) 0.44%(9) 3.95%(9) $478,980 --
(0.03) $ 1.00 3.18% 1.22% 2.59% 0.72% 3.09% $ 16,571 --
(0.04) $ 1.00 5.06% 1.23% 4.48% 0.73% 4.98% $ 28,930 --
(0.04) $ 1.00 4.41% 1.21% 4.02% 0.92% 4.31% $ 40,619 --
(0.04) $ 1.00 4.39% 1.17% 4.06% 0.92% 4.31% $ 45,960 --
(0.04) $ 1.00 4.30% 1.12% 3.92% 0.87% 4.17% $ 89,673 --
(0.02) $ 1.00 1.85% 1.09%(9) 3.33%(9) 0.71%(9) 3.71%(9) $111,089 --
(0.25) $10.07 3.59% 1.04%(9) 4.73%(9) 1.04%(9) 4.73%(9) $ 55,627 69%
(0.24) $ 9.93 0.97% 1.02%(9) 4.44%(9) 0.85%(9) 4.61%(9) $ 66,263 4%
(0.42) $ 9.60 0.19% 1.08%(9) 3.75%(9) 0.38%(9) 4.45%(9) $ 48,526 3%
(0.51) $10.04 10.12% 1.10% 4.77% 0.61% 5.26% $ 63,078 26%
(0.50) $ 9.96 4.37% 1.09% 5.01% 1.01% 5.09% $ 63,732 48%
(0.49) $ 9.94 4.81% 0.99% 4.91% 0.99% 4.91% $ 79,621 40%
(0.46) $10.07 6.05% 1.12% 4.65% 1.12% 4.65% $ 33,456 69%
(0.23) $ 9.93 0.85% 1.27%(9) 4.19%(9) 1.10%(9) 4.36%(9) $ 43,694 4%
(0.38) $10.27 7.66% 1.06%(9) 5.73%(9) 0.77%(9) 6.02%(9) $ 96,354 44%
(0.61) $10.67 10.14% 1.09% 4.55% 0.84% 4.80% $169,881 83%
(0.74) $ 9.46 (4.55%) 1.04% 5.19% 0.79% 5.44% $153,289 24%
(0.09) $ 9.57 2.11% 1.07%(9) 5.54%(9) 0.82%(9) 5.79%(9) -- --
(0.28) $10.61 4.87% 0.97%(9) 5.19%(9) 0.97%(9) 5.19%(9) $193,351 64%
(0.26) $10.27 (0.75%) 0.97%(9) 4.83%(9) 0.76%(9) 5.04%(9) $224,518 4%
(0.71) $ 9.46 (4.83%) 1.34% 4.89% 1.09% 5.14% $ 9,645 24%
(0.54) $10.34 15.37% 1.02% 5.25% 1.02% 5.25% $160,286 45%
(0.54) $10.36 5.66% 1.02% 5.38% 1.02% 5.38% $152,940 52%
(0.59) $10.37 5.99% 0.97% 5.73% 0.97% 5.73% $184,064 37%
(0.53) $10.61 7.60% 0.99% 5.17% 0.99% 5.17% $ 23,992 64%
(0.25) $10.27 (0.87%) 1.22%(9) 4.62%(9) 1.01%(9) 4.83%(9) $ 49,347 4%
</TABLE>
(7) Based on net asset value, which does not reflect the sales charge or
contingent deferred sales charge, if applicable.
(8) During the period, certain fees were voluntarily waived. If such voluntary
waivers had not occurred, the ratios would have been as indicated.
(9) Computed on an annualized basis.
REGIONS FUNDS--FINANCIAL HIGHLIGHTS
- -------------------------------------------------------------------------------
FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD.
<TABLE>
<CAPTION>
NET NET REALIZED DISTRIBUTIONS
INVESTMENT AND FROM NET
NET ASSET INCOME UNREALIZED DISTRIBUTIONS REALIZED GAIN DISTRIBUTIONS
YEAR VALUE, (NET GAIN (LOSS) TOTAL FROM FROM NET ON IN EXCESS OF NET
ENDED BEGINNING OPERATING ON INVESTMENT INVESTMENT INVESTMENT INVESTMENT
NOVEMBER 30, OF PERIOD LOSS) INVESTMENTS OPERATIONS INCOME TRANSACTIONS INCOME
- ---------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
BALANCED FUND--TRUST SHARES
1998(2) $14.52 0.19 0.80 0.99 (0.19) -- --
1999(1) $15.32 0.18 0.45 0.63 (0.17) (0.49) --
BALANCED FUND--INVESTMENT SHARES
1995(3) $10.00 0.44 1.38 1.82 (0.36) -- --
1996 $11.46 0.41 1.27 1.68 (0.42) (0.21) --
1997 $12.51 0.36 1.60 1.96 (0.37) (0.31) --
1998 $13.79 0.35 1.96 2.31 (0.37) (0.41) --
1999(1) $15.32 0.15 0.46 0.61 (0.15) (0.49) --
VALUE FUND--TRUST SHARES
1998(2) $17.31 0.10 (0.02) 0.08 (0.11) -- --
1999(1) $17.28 0.11 1.22 1.33 (0.10) (1.22) --
VALUE FUND--INVESTMENT SHARES
1995(3) $10.00 0.40 1.98 2.38 (0.34) -- --
1996 $12.04 0.27 2.22 2.49 (0.29) (0.35) --
1997 $13.89 0.22 2.94 3.16 (0.21) (0.66) --
1998 $16.18 0.22 1.50 1.72 (0.21) (0.42) --
1999(1) $17.27 0.05 1.26 1.31 (0.08) (1.22) --
GROWTH FUND--TRUST SHARES
1992(4) $ 9.86 0.14 0.77 0.91 (0.11) -- --
1993 $10.66 0.18 (0.03) 0.15 (0.18) (0.12) --
1994 $10.51 0.25 (0.10) 0.15 (0.23) (0.07) --
1995(5) $10.36 0.08 0.02 0.10 (0.08) (0.33) --
1998(2) $17.81 0.02 2.27 2.29 (0.02) -- --
1999(1) $20.08 0.02 1.96 1.98 (0.01) (1.38) --
GROWTH FUND--INVESTMENT SHARES
1994 $10.51 0.21 (0.09) 0.12 (0.20) (0.07) --
1995 $10.36 0.18 2.10 2.28 (0.21) (0.33) --
1996 $12.10 0.12 3.12 3.24 (0.15) (0.55) --
1997 $14.64 0.07 3.01 3.08 (0.07) (0.76) --
1998 $16.89 0.02 5.00 5.02 (0.03) (1.80) --
1999(1) $20.08 (0.00)(7) 1.96 1.96 -- (1.38) --
AGGRESSIVE GROWTH FUND
1999(6) $10.00 (0.01) 0.73 0.72 -- -- --
</TABLE>
(1) For the six months ended May 31, 1999 (unaudited).
(2) Reflects operations for the period from May 20, 1998 (date of initial public
investment) to November 30, 1998.
(3) Reflects operations for the period from December 19, 1994 (date of initial
public investment) to November 30, 1995.
(4) Reflects operations for the period from April 20, 1992 (date of initial
public investment) to November 30, 1992.
(5) Reflects operations for the two month period ended January 31, 1995. Prior
to February 1, 1995, the Fund offered two classes of shares: Investment
Shares and Trust Shares. On February 1, 1995, the Fund exchanged all
outstanding Trust Shares for Investment Shares and no longer offered Trust
Shares. The Fund resumed offering Trust Shares as of May 20, 1998.
(6) Reflects operations for the period from March 15, 1999 (date of initial
public investment) to May 31, 1999.
<TABLE>
<CAPTION>
RATIOS TO AVERAGE NET ASSETS
-------------------------------------------------------
NET INVESTMENT
INCOME
NET ASSET NET INVESTMENT (NET OPERATING
VALUE, INCOME EXPENSES LOSS) NET ASSETS,
TOTAL END TOTAL (NET OPERATING (AFTER (AFTER END OF PERIOD PORTFOLIO
DISTRIBUTIONS OF PERIOD RETURN(8) EXPENSES(9) LOSS)(9) WAIVERS) WAIVERS) (000 OMITTED) TURNOVER
<S> <C> <C> <C> <C> <C> <C> <C> <C>
- -------------------------------------------------------------------------------------------------------------
(0.19) $15.32 6.89% 1.11%(10) 2.56%(10) 1.11%(10) 2.56%(10) $ 10,409 31%
(0.66) $15.29 4.16% 1.11%(10) 2.28%(10) 1.07%(10) 2.32%(10) $ 11,162 8%
(0.36) $11.46 18.50% 1.17%(10) 3.78%(10) 0.61%(10) 4.34%(10) $ 51,197 49%
(0.63) $12.51 15.35% 1.22% 3.51% 1.13% 3.60% $ 59,321 41%
(0.68) $13.79 16.34% 1.11% 2.73% 1.11% 2.73% $ 83,073 34%
(0.78) $15.32 17.49% 1.25% 2.42% 1.25% 2.42% $112,260 31%
(0.64) $15.29 4.04% 1.36%(10) 2.03%(10) 1.32%(10) 2.07%(10) $146,352 8%
(0.11) $17.28 0.50% 1.06%(10) 1.29%(10) 1.06%(10) 1.29%(10) $157,990 63%
(1.32) $17.29 8.09% 1.04%(10) 1.11%(10) 1.00%(10) 1.15%(10) $198,462 50%
(0.34) $12.04 24.14% 1.24%(10) 3.38%(10) 0.69%(10) 3.93%(10) $ 45,424 76%
(0.64) $13.89 21.72% 1.17% 2.23% 1.11% 2.29% $ 83,572 58%
(0.87) $16.18 24.08% 1.04% 1.50% 1.04% 1.50% $152,531 31%
(0.63) $17.27 11.00% 1.11% 1.24% 1.11% 1.24% $ 47,815 63%
(1.30) $17.28 7.97% 1.29%(10) 0.85%(10) 1.25%(10) 0.89%(10) $ 70,816 50%
(0.11) $10.66 9.28% 1.11%(10) 1.93%(10) 0.76%(10) 2.28%(10) $102,822 30%
(0.30) $10.51 1.43% 1.14% 1.55% 0.84% 1.85% $154,185 74%
(0.30) $10.36 1.42% 1.09% 2.02% 0.79% 2.32% $143,876 66%
(0.41) $10.05 1.00% 1.13%(10) 2.46%(10) 0.83%(10) 2.76%(10) -- --
(0.02) $20.08 12.85% 1.00%(10) 0.22%(10) 1.00%(10) 0.22%(10) $246,613 41%
(1.39) $20.67 9.99% 0.98%(10) 0.17%(10) 0.94%(10) 0.21%(10) $311,580 9%
(0.27) $10.36 1.11% 1.39% 1.72% 1.09% 2.02% $ 6,131 66%
(0.54) $12.10 23.01% 1.08% 1.56% 1.03% 1.61% $154,297 110%
(0.70) $14.64 28.22% 1.06% 0.97% 1.05% 0.98% $175,521 56%
(0.83) $16.89 22.37% 1.01% 0.45% 1.01% 0.45% $275,006 40%
(1.83) $20.08 33.81% 1.08% 0.12% 1.08% 0.12% $140,922 41%
(1.38) $20.66 9.91% 1.23%(10) (0.08%)(10) 1.19%(10) (0.04%)(10) $249,467 9%
-- $10.72 7.20% 1.20%(10) (0.46%)(10) 1.20%(10) (0.46%)(10) $ 58,178 16%
</TABLE>
(7) Per share amount does not round to $0.01.
(8) Based on net asset value, which does not reflect the sales charge or
contingent deferred sales charge, if applicable.
(9) During the period, certain fees were voluntarily waived. If such voluntary
waivers had not occurred, the ratios would have been as indicated.
(10) Computed on an annualized basis.
REGIONS FUNDS
COMBINED NOTES TO FINANCIAL STATEMENTS
MAY 31, 1999 (UNAUDITED)
- -------------------------------------------------------------------------------
(1) ORGANIZATION
Regions Funds (the "Trust") is registered under the Investment Company Act of
1940, as amended (the "Act"), as an open-end management investment company. The
Trust consists of seven portfolios (individually referred to as the "Fund", or
collectively as the "Funds") at May 31, 1999, which are presented herein:
<TABLE>
<CAPTION>
PORTFOLIO NAME INVESTMENT OBJECTIVE
- --------------------------------------------------------------------------------------------
<S> <C>
Regions Treasury Money Market Fund Current income consistent with stability of
("Treasury Money Market Fund") principal and liquidity. The Fund pursues
its objective by investing primarily in a
diversified portfolio limited to short-term
U.S. treasury obligations.
- --------------------------------------------------------------------------------------------
Regions Limited Maturity Government Fund Current income. The Fund pursues its
("Limited Maturity Government Fund") objective by investing in a diversified
portfolio consisting primarily of
securities which are guaranteed as to
payment of principal and interest by the
U.S. government, its agencies or
instrumentalities.
- --------------------------------------------------------------------------------------------
Regions Fixed Income Fund Current income with a secondary objective
("Fixed Income Fund") of capital appreciation. The Fund pursues
its objective by investing primarily in a
broad range of high grade debt securities.
- --------------------------------------------------------------------------------------------
Regions Balanced Fund Total return through capital appreciation,
("Balanced Fund") dividends, and interest. The Fund pursues
its objective by investing
primarily in a diversified
portfolio of common stocks,
preferred stocks, fixed-income
senior securities, and
convertible securities.
- --------------------------------------------------------------------------------------------
Regions Value Fund Income and growth of capital. The Fund
("Value Fund") pursues its objective by investing
primarily in a diversified portfolio of
income-producing equity securities,
including convertible securities.
- --------------------------------------------------------------------------------------------
Regions Growth Fund Growth of capital and income. The Fund
("Growth Fund") pursues its objective by investing
principally in a diversified
portfolio of common stocks of
companies with market
capitalization of $5 billion or
more.
- --------------------------------------------------------------------------------------------
Regions Aggressive Growth Fund Long-term capital appreciation. The Fund
("Aggressive Growth Fund") pursues its objective by investing
primarily in equity securities
of companies with small to
medium-sized market
capitalizations of $5 billion
or less.
- --------------------------------------------------------------------------------------------
</TABLE>
REGIONS FUNDS
- -------------------------------------------------------------------------------
The Funds offer both Trust and Investment classes of shares (except, Aggressive
Growth Fund offers only one class of shares). Investment Shares are identical in
all respects to Trust Shares, except the Investment Shares are sold pursuant to
a distribution plan adopted in accordance with Rule 12b-1 under the Act and have
a Shareholder Services Agreement (except, Treasury Money Market Fund and
Aggressive Growth Fund). The assets of each Fund of the Trust are segregated and
a shareholder's interest is limited to the portfolio in which shares are held.
On March 15, 1999, Aggressive Growth Fund received a tax-free transfer of assets
from the Common Trust Fund managed by the Adviser as follows:
<TABLE>
<CAPTION>
COMMON TRUST FUND AGGRESSIVE GROWTH FUND COMMON TRUST FUND UNREALIZED
UNITS CONVERTED SHARES ISSUED NET ASSETS RECEIVED APPRECIATION(1)
----------------- ---------------------- ------------------- ---------------
<S> <C> <C> <C>
245,956 4,850,689 $48,506,886 $5,305,623
</TABLE>
(1) Unrealized Appreciation is included in the Common Trust Fund Net Assets
Received above.
(2) SIGNIFICANT ACCOUNTING POLICIES
The following is a summary of significant accounting policies consistently
followed by the Funds in the preparation of their financial statements. These
policies are in conformity with generally accepted accounting principles.
INVESTMENT VALUATIONS--U.S. government securities, listed corporate bonds,
(other fixed income and asset-backed securities), and unlisted securities and
private placement securities are generally valued at the mean of the latest
bid and asked price as furnished by an independent pricing service. Listed
equity securities are valued at the last sale price reported on a national
securities exchange. The Treasury Money Market Fund uses the amortized cost
method to value its portfolio securities in accordance with Rule 2a-7 under
the Act. For fluctuating net asset value Funds within the Trust, short-term
securities are valued at the prices provided by an independent pricing
service. However, short-term securities purchased with remaining maturities of
60 days or less may be valued at amortized cost, which approximates fair
market value. Investments in other open-end regulated investment companies are
valued at net asset value.
REPURCHASE AGREEMENTS--It is the policy of the Funds to require the custodian
bank to take possession, to have legally segregated in the Federal Reserve
Book Entry System, or to have segregated within the custodian bank's vault,
all securities held as collateral in support of repurchase agreement
transactions. Additionally, procedures have been established by the Funds to
monitor, on a daily basis, the market value of each repurchase agreement's
collateral to ensure that the value of collateral at least equals the
repurchase price to be paid under the repurchase agreement transaction,
including accrued interest.
The Funds will only enter into repurchase agreements with banks and other
recognized financial institutions, such as broker/dealers, which are deemed by
the Funds' adviser to be creditworthy pursuant to the guidelines and/or
standards reviewed or established by the Board of Trustees (the "Trustees").
Risks may arise from the potential inability of counterparties to honor the
terms of the repurchase agreement. Accordingly, the Funds could receive less
than the repurchase price on the sale of collateral securities.
INVESTMENT INCOME, EXPENSES AND DISTRIBUTIONS--Interest income and expenses
are accrued daily. Bond premium and discount, if applicable, are amortized as
required by the Internal Revenue Code, as amended (the "Code"). Dividend
income and distributions to shareholders are recorded on the ex-dividend date.
REGIONS FUNDS
- -------------------------------------------------------------------------------
FEDERAL TAXES--It is the Funds' policy to comply with the provisions of the
Code applicable to regulated investment companies and to distribute to
shareholders each year substantially all of their income. Accordingly, no
provisions for federal tax are necessary.
At November 30, 1998, the Fixed Income Fund, for federal tax purposes, had
capital loss carryforwards of $2,313,647, which will reduce the Fund's taxable
income arising from future net realized gain on investments, if any, to the
extent permitted by the Code, and thus will reduce the amount of the
distributions to shareholders which would otherwise be necessary to relieve
the Funds of any liability for federal tax. Pursuant to the Code, such capital
loss carryforwards of the Fixed Income Fund will expire in 2003 ($2,216,582),
2004 ($15,304), and 2005 ($81,761).
WHEN-ISSUED AND DELAYED DELIVERY TRANSACTIONS--The Funds may engage in
when-issued or delayed delivery transactions. The Funds record when-issued
securities on the trade date and maintain security positions such that
sufficient liquid assets will be available to make payment for the securities
purchased. Securities purchased on a when-issued or delayed delivery basis are
marked to market daily and begin earning interest on the settlement date.
DEFERRED EXPENSES--The costs incurred by each Fund with respect to
registration of its shares in its first fiscal year, excluding the initial
expense of registering its shares, have been deferred and are being amortized
over a period of up to five years from each Fund's commencement date.
USE OF ESTIMATES--The preparation of financial statements in conformity with
generally accepted accounting principles requires management to make estimates
and assumptions that affect the amounts of assets, liabilities, expenses and
revenues reported in the financial statements. Actual results could differ
from those estimated.
OTHER--Investment transactions are accounted for on the trade date.
(3) SHARES OF BENEFICIAL INTEREST
The Declaration of Trust permits the Trustees to issue an unlimited number of
full and fractional shares of beneficial interest (without par value) for each
class of shares. Transactions in Fund shares were as follows:
<TABLE>
<CAPTION>
TREASURY MONEY MARKET FUND
- -------------------------------------------------------------------------------
SIX MONTHS ENDED YEAR ENDED
TRUST SHARES MAY 31, 1999 NOVEMBER 30, 1998
- -------------------------------------------------------------------------------
<S> <C> <C>
Shares sold 478,631,628 735,928,297
Shares issued to shareholders in payment of
distributions declared 716,042 1,531,724
Shares redeemed (524,959,584) (378,903,313)
------------ ------------
Net change resulting from Trust Share
transactions (45,611,914) 358,556,708
------------ ------------
</TABLE>
<TABLE>
<CAPTION>
TREASURY MONEY MARKET FUND
- -------------------------------------------------------------------------------
SIX MONTHS ENDED YEAR ENDED
INVESTMENT SHARES MAY 31, 1999 NOVEMBER 30, 1998
- -------------------------------------------------------------------------------
<S> <C> <C>
Shares sold 196,626,822 378,489,440
Shares issued to shareholders in payment of
distributions declared 1,371,008 2,309,667
Shares redeemed (176,581,962) (337,086,054)
------------ ------------
Net change resulting from Investment Share
transactions 21,415,868 43,713,053
------------ ------------
Net change resulting from Fund Share
transactions (24,196,046) 402,269,761
------------ ------------
</TABLE>
REGIONS FUNDS
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
LIMITED MATURITY GOVERNMENT FUND
------------------------------------------------
SIX MONTHS ENDED PERIOD ENDED
MAY 31, 1999 NOVEMBER 30, 1998(1)
- ----------------------------------------------------------------------------
TRUST SHARES SHARES DOLLARS SHARES DOLLARS
- ----------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Shares sold 1,723,855 $17,249,248 6,735,107 $ 67,149,621
Shares redeemed (573,965) (5,746,889) (1,210,665) (12,176,882)
--------- ----------- ---------- ------------
Net change resulting from
Trust Share transactions 1,149,890 $11,502,359 5,524,442 $ 54,972,739
--------- ----------- ---------- ------------
</TABLE>
<TABLE>
<CAPTION>
LIMITED MATURITY GOVERNMENT FUND
------------------------------------------------
SIX MONTHS ENDED YEAR ENDED
MAY 31, 1999 NOVEMBER 30, 1998
- -----------------------------------------------------------------------------
INVESTMENT SHARES SHARES DOLLARS SHARES DOLLARS
- -----------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Shares sold 1,503,943 $15,038,961 2,615,874 $ 26,154,194
Shares issued to
shareholders in payment of
distributions declared 58,300 583,606 132,888 1,329,677
Shares redeemed (483,687) (4,837,025) (7,438,036) (74,105,672)
--------- ----------- ---------- ------------
Net change resulting from
Investment Share
transactions 1,078,556 $10,785,542 (4,689,274) $(46,621,801)
--------- ----------- ---------- ------------
Net change resulting from
Fund Share transactions 2,228,446 $22,287,901 835,168 $ 8,350,938
--------- ----------- ---------- ------------
</TABLE>
<TABLE>
<CAPTION>
FIXED INCOME FUND
--------------------------------------------------
SIX MONTHS ENDED PERIOD ENDED
MAY 31, 1999 NOVEMBER 30, 1998(1)
- ------------------------------------------------------------------------------
TRUST SHARES SHARES DOLLARS SHARES DOLLARS
- ------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Shares sold 5,753,595 $ 60,316,551 23,040,304 $239,713,263
Shares redeemed (2,123,631) (22,260,493) (4,817,136) (50,660,238)
---------- ------------ ---------- ------------
Net change resulting from
Trust Share transactions 3,629,964 $ 38,056,058 18,223,168 $189,053,025
---------- ------------ ---------- ------------
</TABLE>
REGIONS FUNDS
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
FIXED INCOME FUND
----------------------------------------------------
SIX MONTHS ENDED YEAR ENDED
MAY 31, 1999 NOVEMBER 30, 1998
- ------------------------------------------------------------------------------
INVESTMENT SHARES SHARES DOLLARS SHARES DOLLARS
- ------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Shares sold 3,572,249 $ 37,440,932 6,793,437 $ 71,039,561
Shares issued to
shareholders in payment
of distributions
declared 33,755 353,682 60,137 631,337
Shares redeemed (1,063,925) (11,105,139) (22,342,465) (232,194,363)
---------- ------------ ----------- -------------
Net change resulting
from Investment Share
transactions 2,542,079 $ 26,689,475 (15,488,891) $(160,523,465)
---------- ------------ ----------- -------------
Net change resulting
from Fund Share
transactions 6,172,043 $ 64,745,533 2,734,277 $ 28,529,560
---------- ------------ ----------- -------------
</TABLE>
<TABLE>
<CAPTION>
BALANCED FUND
--------------------------------------------
SIX MONTHS ENDED PERIOD ENDED
MAY 31, 1999 NOVEMBER 30, 1998(1)
- ------------------------------------------------------------------------------
TRUST SHARES SHARES DOLLARS SHARES DOLLARS
- ------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Shares sold 251,846 $ 3,901,394 856,181 $12,458,022
Shares redeemed (201,298) (3,117,093) (176,710) (2,601,037)
-------- ----------- -------- -----------
Net change resulting from Trust
Share transactions 50,548 $ 784,301 679,471 $ 9,856,985
-------- ----------- -------- -----------
</TABLE>
<TABLE>
<CAPTION>
BALANCED FUND
------------------------------------------------
SIX MONTHS ENDED YEAR ENDED
MAY 31, 1999 NOVEMBER 30, 1998
- -----------------------------------------------------------------------------
INVESTMENT SHARES SHARES DOLLARS SHARES DOLLARS
- -----------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Shares sold 2,550,290 $39,333,472 2,457,275 $ 35,487,782
Shares issued to
shareholders in payment of
distributions declared 303,789 4,618,996 323,756 4,425,146
Shares redeemed (610,979) (9,420,623) (1,475,046) (21,367,858)
--------- ----------- ---------- ------------
Net change resulting from
Investment
Share transactions 2,243,100 $34,531,845 1,305,985 $ 18,545,070
--------- ----------- ---------- ------------
Net change resulting from
Fund Share transactions 2,293,648 $35,316,146 1,985,456 $ 28,402,055
--------- ----------- ---------- ------------
</TABLE>
REGIONS FUNDS
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
VALUE FUND
-------------------------------------------------
SIX MONTHS ENDED PERIOD ENDED
MAY 31, 1999 NOVEMBER 30, 1998(1)
- -----------------------------------------------------------------------------
TRUST SHARES SHARES DOLLARS SHARES DOLLARS
- -----------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Shares sold 3,022,879 $ 51,564,025 10,264,378 $176,521,417
Shares redeemed (687,942) (11,599,396) (1,119,040) (18,102,094)
--------- ------------ ---------- ------------
Net change resulting from
Trust Share transactions 2,334,937 $ 39,964,629 9,145,338 $158,419,323
--------- ------------ ---------- ------------
</TABLE>
<TABLE>
<CAPTION>
VALUE FUND
---------------------------------------------------
SIX MONTHS ENDED YEAR ENDED
MAY 31, 1999 NOVEMBER 30, 1998
- --------------------------------------------------------------------------------
INVESTMENT SHARES SHARES DOLLARS SHARES DOLLARS
- --------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Shares sold 1,759,137 $ 30,129,630 3,622,183 $ 59,513,590
Shares issued to
shareholders in payment of
distributions declared 176,819 2,906,644 55,619 875,469
Shares redeemed (605,438) (10,390,032) (10,339,476) (177,882,373)
--------- ------------ ----------- -------------
Net change resulting from
Investment Share
transactions 1,330,518 $ 22,646,242 (6,661,674) $(117,493,314)
--------- ------------ ----------- -------------
Net change resulting from
Fund Share transactions 3,665,455 $ 62,610,871 2,483,664 $ 40,926,009
--------- ------------ ----------- -------------
</TABLE>
<TABLE>
<CAPTION>
GROWTH FUND
--------------------------------------------------
SIX MONTHS ENDED PERIOD ENDED
MAY 31, 1999 NOVEMBER 30, 1998(1)
- ------------------------------------------------------------------------------
TRUST SHARES SHARES DOLLARS SHARES DOLLARS
- ------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Shares sold 4,106,993 $ 87,278,606 13,907,936 $245,366,236
Shares redeemed (1,316,718) (27,671,055) (1,627,209) (29,392,290)
---------- ------------ ---------- ------------
Net change resulting from
Trust Share transactions 2,790,275 $ 59,607,551 12,280,727 $215,973,946
---------- ------------ ---------- ------------
</TABLE>
REGIONS FUNDS
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
GROWTH FUND
----------------------------------------------------
SIX MONTHS ENDED YEAR ENDED
MAY 31, 1999 NOVEMBER 30, 1998
- ------------------------------------------------------------------------------
INVESTMENT SHARES SHARES DOLLARS SHARES DOLLARS
- ------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Shares sold 5,738,231 $122,486,241 4,942,544 $ 82,635,284
Shares issued to
shareholders in payment
of distributions
declared 446,814 9,016,741 512,106 7,454,900
Shares redeemed (1,131,332) (24,353,754) (14,721,586) (259,561,081)
---------- ------------ ----------- -------------
Net change resulting
from Investment Share
transactions 5,053,713 $107,149,228 (9,266,936) $(169,470,897)
---------- ------------ ----------- -------------
Net change resulting
from Fund Share
transactions 7,843,988 $166,756,779 3,013,791 $ 46,503,049
---------- ------------ ----------- -------------
</TABLE>
<TABLE>
<CAPTION>
AGGRESSIVE GROWTH FUND
------------------------
PERIOD ENDED
MAY 31, 1999(2)
- ----------------------------------------------------------------------------
SHARES DOLLARS
- ----------------------------------------------------------------------------
<S> <C> <C>
Shares sold 1,074,986 $ 11,399,880
Shares issued in connection with the tax-free
transfer of assets from the Common Trust Fund 4,850,689 48,506,886
Shares redeemed (497,385) (5,235,584)
---------- ------------
Net change resulting from Fund Share transactions 5,428,290 $ 54,671,182
---------- ------------
</TABLE>
(1) Reflects operations for the period from May 20, 1998 (date of initial
public investment) to November 30, 1998.
(2) Reflects operations for the period from March 15, 1999 (date of initial
public investment) to May 31, 1999.
(4) INVESTMENT ADVISORY FEE AND OTHER TRANSACTIONS WITH AFFILIATES
INVESTMENT ADVISORY FEE--The Capital Management Group, a unit of the Trust
Division of Regions Bank, a wholly owned subsidiary of Regions Financial Corp.,
is the Trust's investment adviser (the "Adviser"), and receives for its services
an annual investment advisory fee based upon a percentage of each Fund's average
daily net assets (see below). The Adviser may voluntarily choose to waive any
portion of its fee. The Adviser can modify or terminate this voluntary waiver at
any time at its sole discretion.
<TABLE>
<CAPTION>
FUND ANNUAL RATE
- -------------------------------- -----------
<S> <C>
Treasury Money Market Fund 0.50%
- --------------------------------
Limited Maturity Government Fund 0.70%
- --------------------------------
Fixed Income Fund 0.75%
- --------------------------------
Balanced Fund 0.80%
- --------------------------------
Value Fund 0.80%
- --------------------------------
Growth Fund 0.80%
- --------------------------------
Aggressive Growth Fund 0.75%
- --------------------------------
</TABLE>
REGIONS FUNDS
- -------------------------------------------------------------------------------
ADMINISTRATIVE FEE--Federated Administrative Services ("FAS") provides the Trust
with certain administrative personnel and services. The fee is based on the
level of average aggregate net assets of the Trust for the period.
DISTRIBUTION SERVICES FEE--The Trust has adopted a Distribution Plan (the
"Plan") pursuant to Rule 12b-1 under the Act. Under the terms of the Plan, the
Funds will compensate Federated Securities Corp. ("FSC"), the principal
distributor, from the net assets of the Funds' Investment Shares to finance
activities intended to result in the sale of the Funds' Investment Shares. The
Plan provides that the Funds may incur distribution expenses according to the
following schedule, annually, to compensate FSC.
<TABLE>
<CAPTION>
% OF AVG.
DAILY NET ASSETS
OF EACH FUND'S
FUND NAME INVESTMENT SHARES
- -------------------------------- -----------------
<S> <C>
Treasury Money Market Fund 0.40%
- --------------------------------
Limited Maturity Government Fund 0.25%
- --------------------------------
Fixed Income Fund 0.30%
- --------------------------------
Balanced Fund 0.30%
- --------------------------------
Value Fund 0.30%
- --------------------------------
Growth Fund 0.30%
- --------------------------------
Aggressive Growth Fund 0.30%
- --------------------------------
</TABLE>
For the period ended May 31, 1999 Limited Maturity Government Fund, Fixed Income
Fund, Balanced Fund, Value Fund, Growth Fund and Aggressive Growth Fund did not
incur a distribution services fee.
SHAREHOLDER SERVICES FEE--Under the terms of a Shareholder Services Agreement
with Federated Shareholder Services Company ("FSSC"), the Funds, except Treasury
Money Market Fund and Aggressive Growth Fund, will pay FSSC based upon a
percentage of each Fund's Investment Shares average daily net assets for the
period (see below). The fee paid to FSSC is used to finance certain services for
shareholders and to maintain shareholder accounts.
<TABLE>
<CAPTION>
% OF AVG.
DAILY NET ASSETS
OF EACH FUND'S
FUND NAME INVESTMENT SHARES
- -------------------------------- -----------------
<S> <C>
Limited Maturity Government Fund 0.25%
- --------------------------------
Fixed Income Fund 0.25%
- --------------------------------
Balanced Fund 0.25%
- --------------------------------
Value Fund 0.25%
- --------------------------------
Growth Fund 0.25%
- --------------------------------
</TABLE>
TRANSFER AGENT AND DIVIDEND DISBURSING AGENT FEES--Federated Services Company
("FServ"), through its subsidiary FSSC, serves as transfer and dividend
disbursing agent for the Funds. The fee paid to FSSC is based on the size, type,
and number of accounts and transactions made by shareholders.
REGIONS FUNDS
- -------------------------------------------------------------------------------
PORTFOLIO ACCOUNTING FEES--FServ maintains the Funds' accounting records for
which it receives a fee. The fee is based on the level of each Fund's average
daily net assets for the period, plus out-of-pocket expenses.
INTERFUND TRANSACTIONS--During the period ended May 31, 1999, Treasury Money
Market Fund engaged in purchase and sale transactions with funds that have a
common investment adviser (or affiliated investment advisers), common
Directors/Trustees, and/or common Officers. These purchase and sale transactions
were made at current market value pursuant to Rule 17a-7 under the Act amounting
to $224,794,032 and $235,754,024, respectively.
CUSTODIAN FEES--Regions Bank is the Funds' custodian. The fee is based on the
level of each Fund's average daily net assets for the period, plus out-of-pocket
expenses.
ORGANIZATIONAL EXPENSES--Organizational expenses were borne initially by FAS.
The Funds have agreed to reimburse FAS for the organizational expenses during
the five year period following the Funds' effective dates. For the period ended
May 31, 1999, the Funds paid FAS, pursuant to this agreement, as follows:
<TABLE>
<CAPTION>
INITIAL ORGANIZATIONAL
ORGANIZATIONAL EXPENSES
FUND EXPENSES REIMBURSED
- -------------------------------- -------------- --------------
<S> <C> <C>
Limited Maturity Government Fund $26,082 $1,338
- --------------------------------
Balanced Fund $24,457 $2,506
- --------------------------------
Value Fund $18,322 $2,116
- --------------------------------
</TABLE>
GENERAL--Certain of the Officers and Trustees of the Trust are Officers and
Directors or Trustees of the above companies.
(5) INVESTMENT TRANSACTIONS
Purchases and sales of investments, excluding short-term securities, for the
period ended May 31, 1999, were as follows:
<TABLE>
<CAPTION>
FUND PURCHASES SALES
- -------------------------------- ------------ ------------
<S> <C> <C>
Limited Maturity Government Fund $ 24,944,907 $ 4,039,676
- --------------------------------
Fixed Income Fund $ 72,892,014 $ 9,447,177
- --------------------------------
Balanced Fund $ 37,904,938 $ 10,393,758
- --------------------------------
Value Fund $157,646,934 $109,384,944
- --------------------------------
Growth Fund $171,260,527 $ 39,329,142
- --------------------------------
Aggressive Growth Fund $ 58,272,843 $ 8,015,525
- --------------------------------
</TABLE>
(6) YEAR 2000
Similar to other financial organizations, the Funds could be adversely affected
if the computer systems used by the Funds' service providers do not properly
process and calculate date-related information and data from and after January
1, 2000. The Funds' Adviser and administrator are taking measures that they
believe are reasonably designed to address the Year 2000 issue with respect to
computer systems that they use and to obtain reasonable assurances that
comparable steps are being taken by each of the Fund's other service providers.
At this time, however, there can be no assurance that these steps will be
sufficient to avoid any adverse impact to the Funds.
Trustees Officers
John F. Donahue
Thomas G. Bigley John F. Donahue
Chairman
John T. Conroy, Jr.
Edward C. Gonzales
Nicholas P. Constantakis President and Treasurer
William J. Copeland J. Christopher Donahue
Executive Vice President
James E. Dowd, Esq.
John W. McGonigle
Lawrence D. Ellis, M.D. Executive Vice President and Secretary
Edward L. Flaherty, Jr., Esq. Richard B. Fisher
Vice President
Edward C. Gonzales
Charles L. Davis, Jr.
Peter E. Madden Vice President and Assistant Treasurer
John E. Murray, Jr., J.D., S.J.D. Gail Cagney
Assistant Secretary
Wesley W. Posvar
Marjorie P. Smuts
John S. Walsh
Mutual funds are not bank deposits or obligations, are not guaranteed by any
bank, and are not insured or guaranteed by the U.S. government, the Federal
Deposit Insurance Corporation, the Federal Reserve Board, or any other
government agency. Investment in mutual funds involves investment risk,
including possible loss of principal.
This report is authorized for distribution to prospective investors only when
preceded or accompanied by the Fund's prospectus which contains facts concerning
their objectives and policies, management fees, expenses and other information.
Regions Aggressive Growth Fund RAGRX 75913Q845
Regions Balanced Fund Trust Shares FPALX 75913Q209
Regions Balanced Fund Investment Shares FPBLX 75913Q100
Regions Fixed Income Fund Trust Shares RFIFX 75913Q803
Regions Fixed Income Fund Investment Shares FPFTX 75913Q704
Regions Growth Fund Trust Shares RGRAX 75913Q407
Regions Growth Fund Investment Shares FPETX 75913Q308
Regions Limited Maturity Gov't Fund
Trust Shares RLMGX 75913Q852
Regions Limited Maturity Gov't Fund
Investment Shares FPLGX 75913Q860
Regions Treasury Money Market Fund
Trust Shares FITXX 75913Q878
Regions Treasury Money Market Fund
Investment Shares FPIXX 75913Q886
Regions Value Fund Trust Shares RVLAX 75913Q605
Regions Value Fund Investment Shares FPEIX 75913Q506
Federated Securities Corp., Distributor
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[LOGO OF REGIONS]
G01186-03 (7/99)
